Levels of Economic Activity

Economic Activities

• Economic Activities any activity that creates a product that can be bought or sold.

• Examples: Fishing

Task Write three economic activities next to Examples: in your notebook.

Four Levels of Economic Activity

• Countries can have up to four levels of economic activity.

But

• Not every country has all four levels.

• Four Levels of Economic Activity1. Primary2. Secondary3. Tertiary4. Quaternary

Primary Level

• Process of extracting natural resources. – Extracting = going and

getting them, harvesting them

• Any country can extract their natural resources.

• Example Ozarka extracts water out of the ground.

Water Well

Secondary Level

• Adding value to natural resources and creating products.

• Example The Ozarka plant bottles and purifies the water they extracted.

• Task Choose a natural resource. Create a real-life situation that shows that resource going from the primary level to the secondary level.

Water Production – Is this a primary or secondary activity?

Tertiary Level

• Providing professional services and the services required to distribute the products.

• Example Kroger sells you and I the water.

Quaternary Level• Process of STUDYING product research and improving

on its production.

• Example Ozarka uses data from Utah State’s Water Research lab to increase their product’s purity.

Worldwide Bottled Water Consumption

Primary, Secondary, Tertiary, or Quaternary Game

1. I put up a picture.

2. Write the name of the picture and your answer on your sheet

3. Check answer after sound

4. Change answer if necessary

Picture Level

Tomato Primary

Primary, Secondary, Tertiary, or Quaternary?

Primary, Secondary, Tertiary, or Quaternary?

Primary, Secondary, Tertiary, or Quaternary?

Primary, Secondary, Tertiary, or Quaternary?

Primary, Secondary, Tertiary, or Quaternary?

Primary, Secondary, Tertiary, or Quaternary?

Primary, Secondary, Tertiary, or Quaternary?

Primary, Secondary, Tertiary, or Quaternary?

Cotton ready to be harvested.

Today’s Challenge

• Who can create the richest company?

• Choose a natural resource. • Determine what product you

will produce.• Create a name for your

company. • Complete the chart and

questions on the Economic Action Plan worksheet

Example

1. Resource: Water

2. Product: Bottled Water

3. Company Name: Orsarka

4. Complete the chart on the paper.

Groups

• Your team will be assigned a natural resource from the list below. – Oil - Corn– Fishing - Diamonds– Tomatoes - Cattle– Wheat - Trees– Tobacco– You may also come up with your own natural

resource, but get it approved by me first.

• What is one product (good) you can make from your natural resource?

Location of Economic Activities - Why is that there?

• Then its your job as CEO to determine where to locate each Level of Economic Activity associated with your company and its product development.

READ ONLY

Location Column - Potential Choices

• Urban – inner-city, downtown, high population

• Suburban – just outside of the city, medium population

• Rural – countryside, low population

For Example:Where would these three primary

activities occur?

• This chart is on your levels of economic action plan worksheet.

Level Location Why?

Primary

Secondary

Tertiary

Quaternary

Location of Economic Activities Plan

• On your Economic Action Plan worksheet, complete each row of the chart for the location of each Level of Economic Activity associated with your company.

• Suggestions: Middle Column: Choose rural, urban, and/or suburban.

• For Quaternary: Pick your favorite college. Explain how it will help your company.

Then you go global…

• In today’s economy you can’t be considered a major player unless you are selling your goods worldwide.

• Based on the upcoming information, your job is to research and choose which country you should focus your business on in the near future and why. (list provided)

Conclusion – Final Interview

• What makes your plan the best?

• What is one weakness of your plan?