Final answer:
Mary is a home-based entrepreneur participating in a cottage industry by making and selling woolen sweatshirts. This type of business allows for personal control over production and is part of a longstanding tradition of home-based manufacturing.
Step-by-step explanation:
Mary makes and sells woolen sweatshirts from her home. In this scenario, Mary is an example of a home-based entrepreneur engaging in cottage industry. This term refers to the production of goods or services within a person's home for sale on the open market, a practice which has historical roots. In the 1700s, the cottage industry model was a prevalent form of manufacturing, where rural families produced goods in their homes under contract to merchants, as was the case with spinning wool, weaving fabric, or making lace.
Today's cottage industry often involves handcrafted goods, such as the woolen sweatshirts made by Mary. These modern entrepreneurs utilize their artisanal skills to create unique products for a market that values handcrafted items. This kind of business allows for flexibility and control over the work process, similar to historical practices, but with the added benefits of current marketing and sales channels, such as online storefronts or local craft fairs.