Industry is the production of an economic good or service within aneconomy.

[1]

Clark's Sector Model

Industry is often classified into three sectors: primary or extractive, secondary or manufacturing, and tertiary or services. Some authors add quaternary (knowledge) or even quinary (culture and research) sectors. Industries can be classified on the basis of raw materials, size and ownership and time.

Raw Materials: Industries may be agriculture based, Marine based, Mineral based, Forest based.... Size: It refers to the amount of capital invested, number of people employed and the volume of production. Ownership: Industries can be classified into private sector, state owned or public sector, joint sector and cooperative sector

Industry in the sense of manufacturing became a key sector of production and labour in European and North American countries during the Industrial Revolution, which upset previous mercantile and feudal economies through many successive rapid advances in technology, such as the steel and coalproduction. It is aided by technological advances, and has continued to develop into new types and sectors to this day. Industrial countries then assumed a capitalist economic policy. Railroads and steam-powered shipsbegan speedily establishing links with previously unreachable world markets, enabling private companies to develop to then-unheard of size and wealth. Following the Industrial Revolution, perhaps a third of the world's economic output is derived from manufacturing industries more thanagriculture's share. Many developed countries and many developing/semi-developed countries (People's Republic of China, India etc.) depend significantly on industry. Industries, the countries they reside in, and the economies of those countries are interlinked in a complex web of interdependence. Industry is divided into four sectors. They are:

Sector

Definition

Primary

This involves the extraction of resources directly from the Earth, this includes farming, mining and logging. They do not process the products at all. They send it off to factories to make a profit.

Secondary

This group is involved in the processing products from primary industries. This includes all factoriesthose that refine metals, produce furniture, or pack farm products such as meat.

Tertiary

This group is involved in the provision of services. They include teachers, managers and other service providers.

Quaternary

This group is involved in the research of science and technology. They include scientists.

Quinary Sector

Some consider there to be a branch of the quaternary sector called the quinary sector, which includes the highest levels of decision making in a society or economy. This sector would include the top executives or officials in such fields as government, science, universities, nonprofit, healthcare, culture, and the media.

An Australian source relates that the quinary sector in Australia refers to domestic activities such as those performed by stay-at-home parents or homemakers. These activities are typically not measured by monetary amounts but it is important to recognize these activities in contribution to the economy. As a country develops people move away from the primary sector to secondary and then to tertiary. There are many other different kinds of industries, and often organized into different classes or sectors by a variety of industrial classifications. Industry classification systems used by the government
[which?]

commonly divide industry into three sectors: agriculture,

manufacturing, and services. The primary sector of industry is agriculture, mining and raw material extraction. The secondary sector of industry ismanufacturing. The tertiary sector of industry is service production. Sometimes, one talks about a quaternary sector of industry, consisting of intellectual services such as research and development (R&D). Market-based classification systems such as the Global Industry Classification Standard and the Industry Classification Benchmark are used in finance and market research. These classification systems commonly divide industries according to similar functions and markets and identify businesses producing related products. Industries can also be identified by product: chemical industry, petroleum industry, automotive industry, electronic industry,meatpacking industry, hospitality industry, food industry, fish industry, software industry, paper industry, entertainment industry,semiconductor industry, cultural industry, poverty industry

labour-intensive industry - capital-intensive industry light industry - heavy industry

Contents
[hide]

1 Industrial development 2 Deindustrialisation 3 Society 4 Industrial labour 5 War 6 ISIC 7 List of countries by industrial output 8 List of countries by industrial output in PPP 9 See also 10 References

[edit]Industrial

development

Main article: Outline of industry The industrial revolution led to the development of factories for large-scale production, with consequent changes in society. Originally the factories were steam-powered, but later transitioned to electricity once an electrical grid was developed. The mechanized assembly line was introduced to assemble parts in a repeatable fashion, with individual workers performing specific steps during the process. This led to significant increases in efficiency, lowering the cost of the end process. Later automation was increasingly used to replace human operators. This process has accelerated with the development of the computer and the robot. [edit]Deindustrialisation Main article: Deindustrialisation Historically certain manufacturing industries have gone into a decline due to various economic factors, including the development of replacement technology or the loss of competitive advantage. An example of the former is the decline in carriage manufacturing when the automobile was mass-produced. A recent trend has been the migration of prosperous, industrialized nations toward a post-industrial society. This is manifested by an increase in the service sector at the expense of manufacturing, and the development of an information-based economy, the so-calledinformational revolution. In a post-industrial society, manufacturing is relocated to economically more favourable locations through a process of off-shoring.

The major difficulty for people looking to measure manufacturing industries outputs and economic effect is finding a measurement which is stable historically. Traditionally, success has been measured in the number of jobs created. The lowering of employee numbers in the manufacturing sector has been assumed to be caused by a decline in the competitiveness of the sector although much has been caused by the introduction of the lean manufacturing process. Eventually, this will lead to competing product lines being managed by one of two people, as is already the case in the cigarette manufacturing industry. Related to this change is the upgrading of the quality of the product being manufactured. While it is easy to produce a low tech, low skill product, the ability to manufacture high quality products is limited to companies with a high skilled staff. [edit]Society Main article: Industrial society An industrial society can be defined in many ways. Today, industry is an important part of most societies and nations. A government must have some kind of industrial policy, regulating industrial placement, industrial pollution, financing and industrial labor. [edit]Industrial

labour

Main article: Industrial labour Further information: industrial sociology, industrial and organizational psychology, industrial district, and industrial park In an industrial society, industry employs a major part of the population. This occurs typically in the manufacturing sector. A labour union is an organization of workers who have banded together to achieve common goals in key areas such as wages, hours, and working conditions. The trade union, through its leadership, bargains with the employer on behalf of union members (rank and filemembers) and negotiates labour contracts with employers. This movement first rose among industrial workers. [edit]War Main article: Industrial warfare The industrial revolution changed warfare, with mass-produced weaponry and supplies, machine-powered transportation, mobilization, the total war concept and weapons of mass destruction. Early instances of industrial warfare were the Crimean War and the American Civil War, but its full potential showed during the world wars. See also military-industrial complex, arms industry, military industry andmodern warfare. [edit]ISIC ISIC (Rev.4) stands for International Standard Industrial Classification of all economic activities, the most complete and systematic industrial classification made by United Nations Statistics Division.

ISIC is a standard classification of economic activities arranged so that entities can be classified according to the activity they carry out. The categories of ISIC at the most detailed level (classes) are delineated according to what is, in most countries, the customary combination of activities described in statistical units, and considers the relative importance of the activities included in these classes. While ISIC Rev.4 continues to use criteria such as input, output and use of the products produced, more emphasis has been given to the character of the production process in defining and delineating ISIC classes. [edit]List

of countries by industrial output

Main article: List of countries by GDP sector composition

Economy European Union (01) (02) (03) (04) (05) (06) China United States Japan Germany Russia 4,199 3,844 2,989 1,645 946 734 664 513 506 473 472 458 439 419 410 397 350 324 220 213 195 5,519

Largest countries by industrial output according to IMF, 2012 Countries by industrial outpu

Brazil (07) United Kingdom (08) Canada (09) (10) (11) (12) (13) (14) (15) (16) (17) (19) Italy France South Korea Saudi Arabia Indonesia Australia Mexico India Spain

(18) Turkey United Arab Emirates (20) Iran Rest of the World

The twenty largest countries by industrial output in 2012, according to the IMF and CIA World Factbook.

Economy European Union (01) China 4,371 3,410

Largest countries by industrial output, 2011 according to World Bank Countries by industrial outpu

(02) (03) (04) (05) (06)

United States Japan Germany Russia Brazil

2,898 1,602 1,021 699 679 542 523 519 495 488 438 400 399 389 376 365 216 216 202 4,970

(07) Italy (08) United Kingdom (09) (10) (11) (12) (13) (14) (15) France Canada India South Korea Indonesia Mexico Saudi Arabia

(18)

(16) Spain (17) Australia United Arab Emirates (19) (20) Turkey Netherlands

Rest of the World

The twenty largest countries by industrial output according to the World Bank and CIA World Factbook in 2011,[2][3]

[edit]List

of countries by industrial output in PPP

Economy (01) (02) (03) (04) (05) (06) (07) (08) (09) (10) (12) (13) China United States Japan India Russia Germany Brazil Mexico South Korea Indonesia 5,303 4,094 2,898 1,197 1,197 1,113 917 680 605 590 534 494 478 463

Largest countries by industrial output in PPP according to World Bank Countries by industrial output (P

European Union

(11) Italy United Kingdom Saudi Arabia

(14) (15) (16) (17) (19) (20)

France Canada Spain Turkey Australia Poland

431 398 378 356 338 237 5,805

Rest of the World