importance of industry

Business

Importance of Industry for Different Aspects of Our Society

November 3, 2020 Admin factories, industry

The industry is a fundamental activity in the economy of any country, and it’s responsible for the
processing and the transformation of natural products (raw materials) into other finished and semi-
finished products.

The modern industry started with the Industrial Revolution that took place in England in the 8th century;
it was thanks to the invention of new machines that did the tasks previously performed by people with
more efficiency.

The importance of industry cannot be denied; it was the gradual growth and expansion of an industry
that led to the creation and expansion of other sectors that are now part of modern societies like
banking, industrial production on a large scale, concentration of capital, division of labor, increase in
productivity, new innovative technologies, etc.

importance of industry

Business

Importance of Industry for Different Aspects of Our Society

November 3, 2020 Admin factories, industry

The industry is a fundamental activity in the economy of any country, and it’s responsible for the
processing and the transformation of natural products (raw materials) into other finished and semi-
finished products.

The modern industry started with the Industrial Revolution that took place in England in the 8th century;
it was thanks to the invention of new machines that did the tasks previously performed by people with
more efficiency.

The importance of industry cannot be denied; it was the gradual growth and expansion of an industry
that led to the creation and expansion of other sectors that are now part of modern societies like
banking, industrial production on a large scale, concentration of capital, division of labor, increase in
productivity, new innovative technologies, etc.

Let’s see what is the importance of industry for different aspects of our society, but let’s clearly define it
first…

Table of Contents

What is the industry?

Why are industries important for us?

What other factor is key to the influence of industry in our lives?

Importance of industry in economic development

Importance of industry to human development

Why industries are important for the development of a country?

What is the industry?

The industry is a set of procedures, processes, and/or activities performed on raw materials with the
objective of making finished products.

But to effectively achieve the above purpose, the industry requires not only raw materials but also:
Large amounts of energy

Specialized machinery

A lot of human resources

A lot of investment in capital and

Great markets with high purchasing capacity

On a global scale, highly developed industries are mainly concentrated in North America, Western
Europe, Russia, and Japan. In terms of national scale, is concentrated in large urban centers because it’s
a typical activity of large cities.

This apparently despaired concentration responds to the centralization of administrative, financial, and
political interests.

You May Also Like: Importance of Hospitality Industry

Why are industries important for us?

It’s important to remember that from the beginning of our history, humankind has had a tendency to
live in society.

For this, we’ve established as a primary means, a series of links that allowed us to develop our
communities or tribes around the ability to obtain a greater amount of resources, but also a greater use
of them – something that an individual by himself and acting alone, couldn’t perform.

This later led to the appearance of commerce as a mode of exchange of goods with other communities.

It was precisely the evolution of commerce that began to show not only in regard to raw materials but
later to the exchange of manufactured products up to these modern days.
In fact, if you think carefully about it, our current world is practically an enormous trade network where
all kinds of goods are exchanged, generating a movement of money across the globe.

It’s not only about trading, it’s also about communication and interaction, something essential to us as
human beings.

It’s in this context that the role is occupied by industries as something fundamental.

The industry has a great advantage, the capacity to generate work sources that consist of the workforce
that is required not only to manipulate the raw material but also to make use of the different machinery
that facilitates serial production.

This process allows the perfection of the different products created and also allows their sale on a
massive scale.

This process allows the perfection of the different products created and also allows their sale on a
massive scale.

Depending on the degree of complexity of the production processes, the industries are heavy and light.
The former is in charge of transforming raw materials into semi-finished products, and are characterized
by requiring a greater concentration of capital and constant technological renewal. Usually, steel,
metallurgy, and petrochemicals are considered.

On the other hand, capital goods industries use the semi-finished products of basic industries to
manufacture machinery and tools for other industries – like construction and mechanical industries.

Light or processing industries are responsible for producing goods that can be directly consumed by the
population. This includes the food, textile, chemical, electronic, automotive, and marine industries.
As you can see, it’s like an ecosystem where everything is interconnected and acting together as a single
“economic system” or “economic machinery”; industry today is the basis of the economies of many
countries.

Better utilization of natural resources: Thanks to the high volumes of resource consumption by large
industries.

A decrease in levels of underemployment: Development of new industries will always require a lot of
human resources, with the consequent increase in employment percentages.

Improvement in capital cumulation: Industries contribute a good portion to the total national income of
any country, but also in the level of income and saving capacity of people in general.

Support of other economic sectors: The industrial sector also helps with the development of other
economic sectors when industries collect different raw materials to transform them. This also helps in
the development of different markets based on raw materials and finished products, so diversifying the
economy, but also promoting foreign trade.

Improvement of several countries’ key sectors: Industrialization helps with the development of many
strategic sectors like energy, transport, building, chemical, defense, etc. On the other hand, industries
greatly contribute to government revenue due to the collection of different taxes that will then be used
for public infrastructure.

Greater economic independence: Production of several key goods helps with the implementation of
import substitution measures that at the same time, help any country to minimize its dependence on
foreign imports, while also saving a great amount of foreign exchange.

https://impoff.com/importance-of-industry/#:~:text=The%20industry%20has%20a%20great,machinery
%20that%20facilitates%20serial%20production.