INDUSTRIAL AND RURAL DESIGN 2011

INTRODUCTION TO INDUSTRY.

According to the Wikipedia Dictionary, Industry refers to the production of an economic

good (either material or a service) within an economy.

The term Industry also refers to a group of enterprises (private businesses or government-
operated corporations) that produce a specific type of good or service, for example, the
beverage industry, the gold industry, or the music industry. Some industries produce physical
goods, such as lumber, steel, or textiles. Other industries, such as the airline, railroad, and
trucking industries, provide services by transporting people or products from one place to
another. Still other industries, such as the banking and restaurant industries, provide services
such as lending money and serving food, respectively.

CLASSIFICATION OF INDUSTRIES.

Classification on the basis of raw materials, size and ownership:

 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 co-operative sector.

Classification of industries on the basis of size:

On the basis of size 3 types of industries are there:-

1. Small scale industry ,

2. Medium scale industry,

3. Large scale industry.

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Primary Industry:
This sector of a nation’s economy includes agriculture, forestry, fishing, mining, quarrying, and
the extraction of minerals. Primary Industries involve the extraction of natural resources.
Developing countries often have a higher proportion of their work forces involved in primary
industries than developed countries, where secondary and tertiary industries are of more
importance.

It may be divided into two categories: genetic industry, including the production of raw
materials that may be increased by human intervention in the production process; and
extractive industry, including the production of exhaustible raw materials.

Secondary Industry:

This sector, also called manufacturing industry, takes the raw materials supplied by primary
industries and processes them into consumer goods, or further processes goods that other
secondary industries have transformed into products, or builds capital goods used to
manufacture consumer and non consumer goods. Secondary industry also includes energy-
producing industries (e.g. hydroelectric industries) as well as the construction industry.

Final products manufactured by secondary industries are classified as durable goods and

nondurable goods. Durable goods are products that are used repeatedly over long periods of
time, such as automobiles and washing machines. Nondurable goods are products that are used
for a short period of time, such as disposable contact lenses, clothing, food, toothpaste, soap,
and other items.

Secondary industry may be divided into heavy, or large-scale, and light, or small-scale, industry.
Large-scale industry generally requires heavy capital investment in plants and machinery,
serves a large and diverse market including other manufacturing industries.

Tertiary industry:

This sector, also called service industry, includes industries that, while producing no tangible
goods, provide services or intangible gains or generate wealth. In free market and mixed
economies this sector generally has a mix of private and government enterprise.

The industries of this sector include banking, finance, insurance, investment, and real estate
services; wholesale, retail, and resale trade; transportation, information, and communications
services; professional, consulting, legal, and personal services; tourism, hotels, restaurants, and
entertainment; repair and maintenance services; education and teaching; and health, social
welfare, administrative, police, security, and defense services.

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Tertiary Industries enable consumers to obtain and use the finished goods. Workers in the
tertiary part of the economy provide services rather than goods. Sales, repair services, banking,
and insurance are all part of the tertiary industry.  People who work in the tertiary sector
include workers in the tourism and hospitality industry, doctors, couriers, and business
consultants. Some tertiary industries have close ties with the primary and secondary industries.
As example fishermen rely on the weather forecasters to determine what the weather
conditions will be like. Tertiary Industries prosper where there is a large group of people, which
is where they get the most business. Many people need tertiary industries for there every day
life.

Tertiary Industries are most of the time grouped with Quaternary Industries because of their
similarities. Some people may get them confused, although Quaternary Industries and Tertiary
Industries both don't produce goods but provide services, Tertiary Industries focus on broader
subjects. Only the Tertiary Industries provide services, other than goods, although sometimes
the Quaternary sector does it sometimes, they don't all the time.

TYPES OF INDUSTRIES.

Four types of industry are:

1. The Manufacturing and Construction Industry,

2. The Service Industry,

3. The Cottage Industry,

4. The Linkage Industry.

The Manufacturing and Construction Industry:

Manufacturing is the production goods that are necessary for modern life from raw materials.
The word manufacture comes from the Latin Manus (hand) and facer (to make). Originally
manufacturing was accomplished by hand, but most of today's modern manufacturing
operations are highly mechanized and automated.

The Service Industry:

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The Service industries (More formally termed: 'tertiary sector of industry' by economists)
involve the provision of services to businesses as well as final consumers. Such, therefore,
include accounting, tradesman ship (like mechanic or plumber services), computer services,
restaurants, tourism, etc.

Hence, a Service Industry is one where no goods are produced whereas primary industries are
those that extract minerals, oil etc. from the ground and secondary industries are those that
manufacture products, including builders, but not remodeling contractors.

The Cottage Industry:

It simply involves the non factory production of goods, usually in the home. Cottage industries
were the usual mode of production before the Industrial Revolution.

A cottage industry is an industry—primarily manufacturing—which includes many producers,

working from their homes, typically part time. The term originally referred to home workers
who were engaged in a task such as sewing, lace-making or household manufacturing. Some
industries which are usually operated from large centralized factories were cottage industries
before the Industrial Revolution. Business operators would travel around, buying raw materials,
delivering them to people who would work on them, and then collecting the finished goods to
sell, or typically to ship to another market.

The Linkage Industry:

The Linkage industry emerges from a situation where one industry produces a good which
another industry depends on to carry out its activities.

Example of a linkage industry

T he food canning industries depend upon the agriculture sector.

REFERENCES

 Microsoft students Encarta 2009

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 Britannica online Encyclopedia

 Wikipedia online Encyclopedia

 www.google.com and

 Other online sources.