Kinds of Industries - Definition and Classification
Kinds of Industries - Definition, Classification, Examples, Experts: In this modern era, the development of industry is very fast due to the more advanced developments in the industrial world.
Definition of Industry
Industry is a business or activity to process raw materials or semi-finished goods into finished goods that have added value to get a profit. The business of assembling or assembling and also repairing is part of the industry. The results of the industry not only in the form of goods, but also in the form of services.
Understanding Industry According to Experts
The following is the Definition of Industry According to Experts.
Moh. Hatta
Industry is an effort to change the structure of agriculture into industrial structure. Industry is an economic activity that processes raw materials, raw materials, semi-finished goods or finished goods which have a higher value for their use.
Indonesian Encyclopedia
Industry is part of the production process that does not take these materials directly from nature for consumption, but the ingredients are processed and eventually become valuable commodities to the community.
Encyclopedia Americana
Industry is a group activity that grows economic objects and users.
Geography viewpoint
Industry is something that is a combination of physical subsystems and human subsystems.
Central Bureau of Statistics
Industry is a business unit that runs a unity of economic activity with the aim of producing goods or services that are domiciled in a particular place or location and have their own administrative records.
The Grasindo Team
Industry is all types of jobs that make money.
George T. Renner
Industry is all human activities in the productive economy / producing goods and money.
Sukimo
Industry is a company carrying out economic activities which are included in the secondary sector.
Kartasapoetra
Industry is an economic activity that processes raw materials, raw materials, semi-finished or finished goods into goods using a higher value, including industrial design activities and industrial engineering.
Industrial Classification
The following is an industrial classification.
1. Based on the availability of raw materials
Extractive industry, namely an industry whose raw materials are directly taken from nature such as agriculture, fisheries, forestry, and mining.
Non-extractive industry is an industry whose raw materials are taken from other places or from other industries. This non-extractive industry is divided into three types, namely:
Reproduction industry
Manufacturing industry
Facilitative industry
2. Based on the number of workers
Large industries, namely industries that have a workforce of more than 100 people.
Medium industry, namely industries that have a workforce of between 20 and 99 people.
Small industries, namely industries that have a workforce of between 5 and 19 people.
Home industry, namely industries that have a workforce of between 1 and 4 people.
3. Based on the department of industry
Basic chemical industry group. For example: in the paper industry, fertilizer, cement, tires and so on.
Machinery and metal industry group. For example: in the steel, machinery and communication industries.
Various industry groups. For example: the garment mak, and drinks.
Small industry group. For example: preservation of meat, bread and oil.
4. Based on individual productivity
Primary industry is the type of industry that produces goods without further processing. For example: on matting, drying fish and grinding rice.
Secondary industry, namely the type of industry that produces goods that require further processing. For example: in the yarn and electronics spinning industry.
Tertiary industry, namely the type of industry engaged in services. For example: tourism, banks, travel, and trade.
5. Based on the raw material
Agricultural industry, namely the type of industry that processes raw materials from agriculture. For example: the cooking oil, coffee, tea and sugar industries.
Nonagraris industry, namely the type of industry that processes a raw material from mining products. For example: the cement, iron and steel industries.
6. Based on the stages of the production process
Upstream industry, namely the type of industry in its production stage processes raw material or raw materials into a semi-finished goods. For example: in the wood processing industry, steel bars, zinc plates, rubber sheets, and so on.
Downstream industries, namely industries whose production stages process semi-finished goods into finished materials (ready to use). Example: garment, shoe and vehicle industries.
7. Based on the results of its production
Heavy industry is the type of industry that produces a machine and production equipment. For example: in the heavy equipment industry, machinery, and tools
transportation.
Light industry is a type of industry that produces a finished product that is directly used by the community. For example: in the food industry, drinks, medicines, and so forth.
8. Based on industrial pluralism
Big industries are types of industries whose activities are on a large scale with multiple activities and arrangements. The characteristics are:
very large capital
Use modern machines
The amount of labor is large
At the industrial location occupies a large area
Small industry is a small-scale industrial activity. The characteristics are:
small capital
On its simple equipment
In the small amount of labor
9. Based on the capacity of the workforce
Labor intensive industry (labor intersive), which is a type of industry in which an activity requires a large number of workers. For example: in the garment and electronics industry.
Capital intensive industry (capital intersive), which is a type of industry that uses more capital in the form of money or modern machines.
10. Based on the origin of capital
National Industry or Domestic Investment (FDI) is a type of industry that all capital comes from within the country.
The national private industry is the type of industry whose capital comes from a national businessman.
Foreign industry is the type of industry whose capital comes from foreign entrepreneurs, which is based on a government policy.
Joint industry, which is commonly known as the joint venture industry, the type of industry whose capital is the result of cooperation between national private entrepreneurs or government capital with capital from other countries.