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Question

Difficulty: MediumCommercial vs Direct Service Occupations

Mr. Adebayo employs a personal chauffeur for his family, a private cook for his household, an insurance agent to manage his company's risk policies, and a housemaid for domestic chores. Which of these individuals is engaged in a commercial occupation?

  1. A
    The personal chauffeur
  2. The insurance agentAnswer
  3. C
    The private cook
  4. D
    The housemaid

Answer

The insurance agent is engaged in a commercial occupation.
Insurance is an auxiliary to trade. Individuals working in insurance provide essential services that facilitate trade and business risk management, making the role a commercial occupation.

Step-by-Step Solution

1
Define commercial and direct service occupations.
Commercial occupations involve trading activities and auxiliaries to trade (such as banking, insurance, warehousing, and commercial transport), whereas direct service occupations involve personal services rendered directly to individuals for non-commercial personal satisfaction.
Classification depends on whether the occupation facilitates commercial trade or directly satisfies personal individual needs.
2
Classify each profession mentioned in the stem.
The personal chauffeur, private cook, and housemaid render personal domestic services directly to the employer's family. The insurance agent provides risk management, which is an auxiliary to trade.
Insurance directly assists commercial enterprises and trade activities, establishing it as a commercial occupation.

Key Concept

Distinction Between Commercial and Direct Service Occupations
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Topics

Commercial vs Direct Service Occupations

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