Question

Classify industries on the basis of size and ownership,giving one example for each in detail

Answer 1

Answer:

An economic activity which involves extraction of minerals, production of goods or the provision of services is referred to as an industry. Industries can be classified on the basis of size, ownership and raw materials.

Size

It refers to volume of production, number of people employed and the amount of capital invested. Industries can be divided into two types on the basis of size. They are:

a. Small scale industries - In cottage or household industries the artisans make the products by hand. Compared to large scale industries they use less amount of capital and technology. For example, basket weaving and pottery.

b. Large scale industries - Investment of capital is higher and superior technology is used in large scale industries. For example, automobiles and heavy machinery.

Ownership

On the basis of ownership the industries can be divided as:

a. Private sector industries - They are owned by owned and operated by an individual or a group of individuals.

b. Public sector industries - They are owned and operated by the government. For example, Steel Authority of India Limited and Hindustan Aeronautics Limited.

c. Joint sector industries - They are owned and operated by the state and individuals or a group of individuals. For example, Maruti Udyog Limited.

d. Co-operative sector industries - They are owned and operated by the producers or suppliers of raw materials, workers or both. For example, Anand Milk Union and Sudha Dairy.

Raw materials

On the basis of raw materials industries can be classified as follows:

a. Agro based industries - They use plant and animal based products as raw materials. For example, food processing and cotton textile industries.

b. Mineral based industries - They are primary industries which use mineral ores as raw materials. Their products are use in other industries. For example, industries which make iron from iron ore. Iron is used as a raw material by other industries which manufacture heavy machinery or building materials.

c. Marine based industries - Products from the sea and oceans are used as raw materials by them. For example, industries which process sea food or manufacture fish oil.

d. Forest based industries - Forest produce is used as raw material by them. For example, pulp and paper industries.