\tMerchants supplied money to peasants and artisans, persuading them to produce for an international market.\tDemand for goods increased since the European powers had acquired colonies and sold their goods in these colonies.\tBut merchants could not expand production within towns because the urban crafts and trade guilds were very powerful.\tRulers granted different guilds the monopoly rights to produce and trade in specific products.\tIt was therefore difficult for new merchants to set up business in towns. So they turned to countryside.