A trading business is any business that engages in the buying and selling of an underlying asset. Trading companies are businesses that work with different kinds of products which are sold for consumer, business, or government purposes. They buy a specialized range of products, maintain a stock or a shop, and deliver products to customers. Different kinds of practical conditions make for many kinds of business. Usually, two kinds of businesses are defined in trading. Importers or wholesalers maintain a stock and deliver products to shops or large end customers. They work in a large geographical area, while their customers, the shops, work in smaller areas and often in just a small neighborhood.

Trading companies can be general or specialized. A general trading company operates in a wide range of fields and focuses more on business investment than on the basic trading business. In contrast, a specialized trading company operates a business in a specific field and focuses primarily on the trading business. Specialized trading companies are highly specialized in one goods category and have a strong logistic organization. They handle products in a wide range of industries and are involved in all stages of the supply chain from development and purchasing of raw materials to manufacture, processing, distribution, and sale, providing services with high added-value.

Traders are individuals who engage in the buying and selling of assets in any financial market, either for themselves or on behalf of another person or institution. They can either be entrepreneurs or work for large financial institutions that have trading rooms where traders are employees who buy and sell a wide range of products on behalf of the company. To be a successful trader, people often need to attain specialized education, training, and experience, which can be time-consuming and expensive.