For this criterion, the company's area of operation is considered, considering how far its activities reach within the global market.
Local business : one that operates only within a community or limited geographic area, such as a town or city.
Example : a neighborhood hardware store or a bakery in a village.
Regional business : the organization allows for reaching more than one city and the operation reaches more points within a state or a larger geographic area.
Example : a restaurant chain in several cities in a state.
National company : commercial activities must have almost total or very extensive coverage within the borders of a country.
Example : a clothing brand such as Zara in Spain or Totto in Colombia.
Multinational company : the company dominican republic phone data extends its reach to other countries, but the headquarters of its operational center remains in the home nation.
Example : a food company such as Bimbo, with a presence in Latin America and headquarters in Mexico.
Transnational company : In addition to the fact that the company reaches different countries, its operation is decentralized, that is, each global region operates independently.
Example : an automotive company like Toyota, with independent plants in Europe, Asia and America.
Types of companies according to their commercial activity
The commercial activity of a business is its main function and can be of different types, such as the retail sale of goods, the provision of services, the manufacturing of products, among others.
Types of companies according to their activity can be grouped into 5 main types, also known as “industry sectors”.
Extraction company : the main activity of this type of organization is to obtain natural resources (renewable or non-renewable) directly from their sources, such as the sea, mines or oil wells.
Example : a gold mining company in South America or a fishing company in Alaska.
Manufacturing or transformation company : the main resource of a company of this type is raw materials—such as plants, wood or metals—which it transforms into finished products or bases for generating other products.
Example : Coca-Cola transforms raw materials into beverages for global distribution.
Commercial company : This category includes all companies dedicated to the acquisition of goods (finished products or even raw materials) to sell them to consumers or other companies.
Example : an electronics store.
Service company : This category applies to all those organizations whose main activity is to offer intangible elements or solutions (financial resources, electricity or the Internet, for example) to meet market needs.
Example : Netflix, as an online content provider, or a local telecommunications company.