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Identifying Types of Businesses Instructions In your working papers, indicate whether
Chapter 2, Problem 2-4(choose chapter or problem)
In your working papers, indicate whether each of the following businesses is a service business, a merchandising business, or a manufacturing business.
1. International Business Machines (IBM)
2. Gap
3. Glendale Memorial Hospital
4. Avis Rent A Car System
5. Ford Motor Company
6. Bank of America
7. Ace Hardware Stores
8. Michigan City Animal Hospital
9. Office Depot
10. Wal-Mart Stores
11. Allstate Insurance
12. U.S. Steel
Questions & Answers
QUESTION:
In your working papers, indicate whether each of the following businesses is a service business, a merchandising business, or a manufacturing business.
1. International Business Machines (IBM)
2. Gap
3. Glendale Memorial Hospital
4. Avis Rent A Car System
5. Ford Motor Company
6. Bank of America
7. Ace Hardware Stores
8. Michigan City Animal Hospital
9. Office Depot
10. Wal-Mart Stores
11. Allstate Insurance
12. U.S. Steel
ANSWER:Step 1 of 2
The manufacturing business is a type of business in which the company produces finished goods using raw materials, labor, and machinery. A service business on the other hand, provides services rather than products. Let's categorize these businesses.
International business machine (IBM) - is primarily a service business. Historically, IBM was known for its hardware products, including mainframes and personal computers. However, over the years, IBM has transformed its business model to focus more on services, software, and cloud computing.
