Advantages and Disadvantages of The Industry

An industry is a group of companies linked by their primary business activities. Industries may be divided into several categories in modern economies. To merge larger sets of industrial classifications, sectors are frequently employed.

Typically, a company's major income sources determine what industry it belongs to. For instance, even if a carmaker may have a financing segment that contributes 10% to the company's overall earnings, most categorization systems would place the business in the automaker category.

Three Main Types of the Industry

Though there can be some crossovers, the main industrial areas can be separated into three main groups

A. Primary Industries

Primary industries are the acquiring or obtaining of raw materials

Some examples: include mining for iron ore or other materials and minerals or fishing when fresh session court ready to be sold, and farming, where again the original crops can be harvested or meat raid ready to be made into different foods or also the supermarket, its primary industries provide the raw materials

B. Secondary Industry

Where those raw materials are used to create something useful

Some examples: mining that iron extract because it is used to make girders for buildings or the milk from our farm could be made into cheap production, and assembly from raw materials is what makes up the secondary industry

C. Tertiary Sector

The tertiary sector of the economy, generally known as the service sector, is the third of the three economic sectors in the three-sector model. The tertiary sector consists of the provision of services instead of end products

Some examples: services that might include doctors where you receive advice for your health transports like taxis to get you from one place to another or restaurants to provide you with food and entertainment.

Classification Of Industries (Categorised Based On their Size, Ownership, And Raw Resources)

1. Based on the sort of raw material they employ; different industries are categorised. For instance, agro-based companies utilize raw resources from plants and animals. Ocean and sea products are used as raw materials by companies situated in the marine environment.
2. Based on Size - Industries are categorised according to the volume of output, the number of employees, and the amount of capital invested. Small-scale and large-scale industries can be categorised based on size. For instance, manufacturing heavy equipment and vehicles is a large-scale industry.
   They invest more in cash, manufacture more things in bigger quantities, and employ better technologies. In contrast, while cottage and domestic industries are small-scale businesses where the items are made by hand and employ a smaller amount of capital and technology, they generate enormous volumes of products, have bigger capital investments, and use better technology.
3. Based on ownership, industries may be split into
   1. Private sector: which is run and controlled by a single person or a small group of people.
   2. State-owned enterprises in the public sector: such as Hindustan Aeronautics Limited and the Steel Authority of India, are run and owned by the government (SAIL).
   3. Joint sector: a business that is jointly owned and run by the government and one or more private parties, such as Maruti Udyog Limited.
   4. Cooperative sector: owned and run by raw material producers or suppliers, employees, or both. Examples include the Indian Farmers Fertilizer Cooperatives (IFFCO) and Amul India

What are the factors determining industrial location in India?

The accessibility of raw materials, land, water, labour, electricity, capital, transportation and markets all have an impact on where industries are located. Industries are in areas with easy access to any or all of these criteria. To encourage the location of enterprises in underdeveloped areas, the government occasionally offers incentives like subsidised power, reduced transportation costs, and other infrastructure. Towns and cities frequently develop and expand because of industrialisation.

Advantages Of Industry

• Strong and balanced economy, Due to the Indian economy being based on agriculture, industrial development is necessary to make it uncertain and unbalanced.
• Industrial development, helpful in agricultural development, is also very important for agricultural development; alternative businesses can be made available through industrial development, and the burden of the increasing population on agriculture can be reduced. This will solve the problem of subdivision and fragmentation of holdings, and advanced means will be made available for agricultural development.
• The productivity of the means of production can be increased by industrial development. The use of machines and specialisation increases the productivity of labour. The per unit cost can be reduced by mass production using machines.
• Rapidly increasing unemployment in the country can be easily solved by industrial development in the country and by providing alternative employment opportunities.
• increase in per capita income because machines are utilised in the industry as opposed to agriculture, productivity is higher. Industrialisation also creates more job options, which raises household income.
• Increase in national income, The abundant resources available in the country can also be used only through industrial development. Therefore, industrialisation will increase the national income.
• Improving the standard of living Industrial development will increase the income of the people, increase the national income and at the same time, it will be possible to produce different types of goods and services in the country using the standard of living of the people will improve. Western countries like America, France, Germany etc., have become so prosperous and powerful today because of industrialisation.
• Increase in savings and investment an important advantage of industrialisation would be that it would increase savings and investment. People start investing their income in productive work by cutting down on expenditure. This inculcates the habit of saving, which is essential for the economic development of the country.
• All-round development of society Industrialization is essential for the all-around development of the individual and society. Due to this, many essential qualities, such as regularity, scientific outlook, technical progress, dutifulness, hard work etc., are created in man.
• There is a special need for industrialisation for the security of the country. In the present era, many types of weapons and equipment related to war are required. We get this war material only from industries.

Disadvantages of Industry

• People had better access to products and services and more money because of industrialisation, but there was also more danger involved. Long shifts were demanded of the workers, who sometimes put in 12-hour days with only Sundays off. Because there were no rules in place to safeguard workers, many individuals worked with machinery that lacked safety measures.
• Because they were paid less and put in fewer hours than adults, many industries employed children to labour in hazardous situations. Children were given fewer opportunities to attend school since they were required to work 12-hour shifts just as adults did. In these early industries, it was common for families to lose numerous children.
• It was well known in factory towns like Hershey that residents had access to good homes and other necessities. Living circumstances weren't always better in the vicinity of the industries. Many of the towns started to develop large slums where entire families would occasionally reside in studio units. Early on in industrialisation, there was minimal medical treatment accessible. Hence it was common for families to lose many relatives to improve their lot in life.
• CO2 levels increased after industrialisation and reached 400 parts per million. The pH is more acidic in oceans. Plastic contamination is rampant, and microplastics are finding their way into the human food supply. While our economy is expanding, biodiversity is being lost. If this problem isn't addressed, we'll eventually approach a breaking point.
• Fewer than 40 nations have completely embraced these technologies during the contemporary economic revolution, providing those who do so a significant edge. As a result of the need for raw materials for industries to run, this disparity of development causes resource problems. Because they sell the goods essential to their economies in the short term rather than for the long run, the non-industrialized nations hold themselves behind.
• Because of the ways that industrialisation altered our approach to food production, there are now fewer farmers working than at any other time in the history of our planet. In contrast to homesteading, the agricultural business relies on automation, products with extended shelf lives, and other innovations. There are occasions when the safety and quality of the meals we eat because of these procedures are in doubt.
• Harvesting whale oil for use in consumer products and lighting was the original purpose of whaling. At the beginning of industrialisation, margarine was manufactured from whale oil. Today, we need fossil fuels to run our industries and provide the commodities and services we require. If we run out of gas or oil, what will happen to our industrialisation efforts?
• The explosion in automation that we see today is a result of industrialisation. This revolution in our economy altered how we think about productivity as artificial intelligence and machine learning took over many of the repetitious tasks of today. People are now seated in cubicles in front of computers instead of working mostly outside in the fields.