What are two types of businesses that would probably use a sole proprietorship as a form of business ownership?

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13-01-2017
Business

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What are two types of businesses that would probably use a sole proprietorship as a form of business ownership?

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MissPhiladelphia MissPhiladelphia · Answer 1 · 2017-01-17T15:03:23+01:00

Merchandising Business

This type of business buys products at wholesale price and sells the same at retail price. They are known as "buy and sell" businesses. They make profit by selling the products at prices higher than their purchase costs.

Manufacturing Business

Unlike a merchandising business, a manufacturing business buys products with the intention of using them as materials in making a new product. Thus, there is a transformation of the products purchased.