Revision: Fundamentals of Human Geography >> Tertiary and Quaternary Activities Geography Commerce (English Medium) Class 12 CBSE

The three types of activities are:

• Tertiary activities
• Quaternary activities
• Quinary activities.

Trade is essentially buying and selling of items produced elsewhere. All the services in wholesale and retail trading or commerce sire specifically intended for profit.

Chain Stores: These are retail stores owned by a single firm and spread over vast geographical areas across nation or worldwide. Chain stores are usually characterized by similar service and infrastructural environments, involving similar architecture, store design, layout and choice of products.

Departmental stores: Departmental stores are large retail establishments which have large collection of variety of goods, all organised under specific department heads. A distinct feature of this kind of retail establishment is the organizing of separate departments, under same roof to facilitate buying, customer service, merchandising and control.

Wholesale trading constitutes bulk business through numerous intermediary merchants and supply houses and not through retail stores. Wholesalers often extend credit to retail stores to such an extent that the retailer operates very largely on the wholesaler’s capital.

Quaternary activities are knowledge oriented. They involve the collection, production and dissemination of information. They centre around research, development and may be seen as advanced forms of services involving specialized knowledge and technical skill.

Consumer cooperatives: A cooperative business which is owned by its consumers for mutual sharing of benefit, after setting aside money for investment, is known as consumer cooperative. Consumer cooperatives often take form of the retail outlets which are owned and managed by their consumers.

Some examples of informal service sector are those people helping in domestic services, eg. Housekeepers, cooks, gardeners, etc. On such example of informal service is Mumbai’s dabbawalas.

When medical treatment is combined with international tourism activity, it is commonly known as medical tourism.

 India has emerged as a leading center with world-class hospitals in the metro cities. Medical tourism brings huge benefits to developing countries like India, Thailand. There is also the trend of outsourcing the medical tests and data interpretation, and some centers in India, Switzerland, and Australia carry on some medical services like reading of radiology images, to interpreting MRI’s and ultrasound tests. It is advantageous to patients as it provides better quality and specialized care.

Quinary activities are services that focus on the creation, rearrangement and interpretation of new and existing ideas; data interpretation and the use and evaluation of new technologies. People involved are referred to as gold collar workers.

Information technology is the synthesis of computers and telecommunication, Transmission of stored and processed information.

• Tertiary activities are service-based activities, such as trade, transport, communication, and services used in daily life.
• Trade means buying and selling goods produced elsewhere for profit. Towns and cities where trade happens are called trading centres.
• Trading centres are of two types: Rural and Urban.
  Rural centres serve nearby villages and have mandis and periodic markets.
  Urban centres provide both ordinary and specialised goods and services.
• Retail trading means selling goods directly to consumers. It can be through shops or non-store methods like street vending, door-to-door selling, mail-order, telephone, vending machines, and internet.
• Wholesale trading means selling goods in large quantities to retailers. Wholesalers often provide credit to retailers.
• Transport is the movement of people and goods from one place to another. It increases the value of goods and is measured by distance, time distance, and cost distance.
• Communication means transfer of messages and information. Modern communication includes mobile phones, satellites, radio, television, newspapers, and the internet, which has revolutionised global communication.

• Quaternary activities are knowledge-based services involving the collection, production and distribution of information. They include research, development (R&D), IT, education, finance, and consultancy.
• The Quaternary sector is called the ‘Knowledge Sector’, and it plays a major role in developed economies where most workers are employed in information-based services.
• Quinary activities involve top-level decision making and policy making. These include senior executives, government officials, scientists, and legal and financial consultants. They are also called ‘gold collar’ professions.
• Outsourcing means giving work to an outside agency to reduce costs and increase efficiency. When work is shifted to another country, it is called offshoring.
• Countries like India, China, Philippines, and Eastern Europe benefit from outsourcing because they provide cheap and skilled labour.
• KPO (Knowledge Process Outsourcing) is different from BPO because it requires highly skilled workers. Examples include R&D, legal services, banking, IP research, and e-learning.
• The Digital Divide refers to the gap between developed and developing countries (and also between urban and rural areas) in terms of access to Information and Communication Technology (ICT).

• Most people today work in the service sector (tertiary activities), especially in developed countries. Employment in this sector is increasing, while it is decreasing in primary and secondary sectors.
• Tourism is the largest tertiary activity in the world, providing about 250 million jobs and contributing nearly 40% of total GDP globally.
• Tourism provides employment in accommodation, transport, food services, entertainment, retail shops, and craft industries (souvenirs).
• Tourist regions include Mediterranean countries, West Coast of India, mountain regions (for winter sports), scenic landscapes, national parks, and historic towns.
• Main tourist attractions include:
  Climate (warm beaches or snow for skiing)
  Landscape (mountains, lakes, sea coasts)
  History and art (monuments, heritage sites)
  Culture and low cost of living
• Medical tourism means travelling to another country for medical treatment along with tourism. India is a leading country in medical tourism.
• Medical tourism and outsourcing of medical services (like MRI reports and radiology tests) bring economic benefits to countries like India, Thailand, Singapore, and Malaysia.