Sub-sector is a network of firms that supply raw materials, transform them, and distribute finished goods to a particular consumer market. Also the meaning stands for study of organizations and their inter links with market and to the customers. It gives clear picture of the market means from the production up to the product reaches the customers.
It is the study of the process of where products are gets value additions. We can study the role of middle man, whole seller, and retailer. We can also know what technologies they are using and what the production cost of the product is and how much they get profit apart from prom production cost. We know how profit should be divided into each node. It is the study of Common procurement, processing and distribution channel can form a sub-sector. Includes both vertical and horizontal linkages Can be defined by particular finished product or key raw material (commodities) - set of products emanating from it.
Sub-sector analysis is a process of getting to understand different stages in the value addition chain in a sub-sector and understanding that does the value addition, using what technology, at what terms and with whose help.
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