In the 17th century, merchants from European towns began employing peasants and artisans in the countryside for two main reasons. Firstly, urban trade and craft guilds were very powerful in the towns. These guilds restricted the entry of new merchants and controlled production, prices, and competition, making it difficult for new merchants to expand their business. Secondly, by moving production to the countryside, merchants could tap into a large pool of labour. Peasants and artisans, with small plots of land that provided only a supplementary income, were eager to find additional work to support their families. This system, known as proto-industrialisation, allowed merchants to bypass the restrictive guilds and produce goods for the international market at a lower cost.