(2) Internal trade Explanation: Domestic trade, also known as internal trade or home trade, is the exchange of domestic goods within the boundaries of a country. This may be sub-divided into two categories, wholesale and retail. Wholesale trade is concerned with buying goods from manufacturers or dealers in large quantities and selling them in smaller quantities to others who may retailers or even consumers. Wholesale trade is undertaken by wholesale merchants or wholesale commission agents. The importance of domestic trade in a country is that it facilitates exchange of goods within the country.