Why did merchants turn to countryside, rather than setting up business in towns?

cbse
cbse-class-10
age-industrilisation
cbse-class-10-social

#1
  • Merchants supplied money to peasants and artisans, persuading them to produce for an international market.
  • Demand for goods increased since the European powers had acquired colonies and sold their goods in these colonies.
  • But merchants could not expand production within towns because the urban crafts and trade guilds were very powerful.
  • Rulers granted different guilds the monopoly rights to produce and trade in specific products.
  • It was therefore difficult for new merchants to set up business in towns. So they turned to
  • countryside.