Fmcg Sector Report

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Chapter 4: Industry Analysis: Indian FMCG Sector

164

Chapter 4: Industry Analysis: Indian FMCG Sector
4.1 Introduction to Economy
4.2 Indian Economy
4.3 Indian FMCG Sector
4.4 Indian FMCG Sector

165

Chapter 4.1: Introduction to Economy
1.

Introduction

2.

Evolution of Economy

3.

World Economies

4.

Types of Economies

166

4.1: Introduction to Economy
1. Introduction
An economy consists of the economic system of a country or other area, the labor, capital and land resources, and the economic agents that socially participate in the production, exchange, distribution, and consumption of goods and services of that area. A given economy is the end result of a process that involves its technological evolution, history and social organization, as well as its geography, natural resource endowment, and ecology, as main factors. These factors give context, content, and set the conditions and parameters in which an economy functions. As long as someone has been making and distributing goods or services, there has been some sort of economy; economies grew larger as societies grew and became more complex Global economy generally refers to the economy, which is based on economies of all of the world's countries, national economies. Also global economy can be seen as the economy of global society and national economies - as economies of local societies, making the global one. It can be evaluated in various kind of ways. For instance, depending on the model used, the valuation that is arrived at can be represented in a certain currency, such as
2006 US dollars.
It is inseparable from the geography and ecology of Earth, and is therefore somewhat of a misnomer, since, while definitions and representations of the "world economy" vary widely, they must at a minimum exclude any consideration of resources or value based outside of the
Earth. For example, while attempts could be made to calculate the value of currently

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