What is the definition of traditional business?


Quick Answer

A traditional business is typically an organization that is a store, restaurant or agency. These types of businesses offer consumers some kind of service or product.

Continue Reading
What is the definition of traditional business?
Credit: Troels Graugaard E+ Getty Images

Full Answer

A traditional business operates to provide its customers and consumers with a product in exchange for compensation. The typical goals of these types of businesses all lead to turning a profit for the owners or operators, meaning that the business makes more money in revenue than it spends. Businesses spend a large amount of money on operational bills and salaries. Non-profit organizations provide services to people with no benefit to the organization. "Traditional business" can also be used as a phrase to describe protocol in certain situations that is widely followed by business.

Learn more about Business Resources

Related Questions