The period of industrialization before the first factories came up in Europe is termed as proto-industrialization. This period was marked by merchants from towns getting products made in villages. Reasons for focus of merchants on villages: There were powerful trade and craft guilds in urban areas. These associations controlled competition and prices and prevented entry of a new player in the market. Because of them, it was difficult for new merchants to set business in towns.
Features of proto-industrialization in Britain:
- The merchants supplied money to the peasants in the countryside. They motivated them to produce products for an international market.
- Land was becoming scarce in villages. Small plots of land were not enough to meet the need of a growing population. Peasants were looking for some additional sources of income.
