There are a series of functions or activities involved in the marketing of food. There are standards for over 300 products. For standards to be useful they must be realistic and be easily understood and easily applied. It simplifies buying and selling because it makes the sale by sample and description possible - the buyer and the seller speak the same language. Transportation provides place utility, that is, it move the products to places that they can be more efficiently processed and eventually sold.
Processing includes any function that alters the form of the product.
The trend is toward more processing for convenience of use by consumers. Economic trends also encourage fewer but larger processing plants. It not only preserves the food, but aids in merchandising. The canner must spend or invest money in transporting, processing and packaging the product before selling. When the canned goods are sold, the loan is paid off.