The Industrial Sector

The industrial sector is usually defined as the goods producing sector of the economy. It is one of the most diverse sectors in economics, and just the secondary sector is comprised of 13 key subsectors: mining, agriculture, construction, food, paper, chemicals, glass, cement, steel, primary aluminum, petroleum refining, metals-based durables, as well as other manufacturing goods. It is also one of the most important sectors. Ever since the industrial revolution, a good amount of the world’s economic output is the result of the industrial sector. Many of the world’s developed and developing countries depend heavily on the industrial sector.

The industrial sector can be divided into sectors of its own. Since there are many different kinds of industries, it can be divided into four different sectors. The primary sector is the extraction of raw materials. The secondary sector, what people usually refer to as “industrial,” is the manufacturing. The tertiary sector is the service production. And finally, the last sector, known as the quaternary sector, is research and development. The industrial sector also provides a variety of products and services, though mostly products. These include chemicals, petroleum, food, software, paper, metals, and semiconductors. The industrial sector can further be divided into light industry and heavy industry. Light industry focuses on goods that are more consumer-friendly whereas heavy industry focuses on “big” projects, such as construction and military equipment.

Amongst the variety of products produced by this sector, a number of large businesses can be found. Intel, led by Craig Barrett and Paul Otellini, is the world’s largest producers of semiconductors. They are well known for the computer processors they create, such as the Intel Pentium Dual-Core I am currently using. Both ExxonMobil and Chevron are amongst the largest energy companies in the world, specializing and gas and oil. As a matter of fact, ExxonMobil was founded by the business tycoon John D. Rockefeller as Standard Oil. Rockefeller was well known as an industrialist who revolutionized the petroleum industry. In the pharmaceutical section of the industrial sector, major companies include Pfizer and Merck, led by Jeff Kindler and Richard Clark respectively, both of which are amongst the largest pharmaceutical companies in the world. Pfizer ranks number one in the world in terms of sales. Its power was recently augmented by its purchase of another major pharmaceutical company, Wyeth.

The industrial sector has existed for millennia, though it was during the industrial revolution that it has truly taken significance. Prior to the industrial revolution, there were guilds and minor industrial production. The industrial revolution, during the late 18th Century and early 19th Century, completely revolutionized the economy and society. Mechanical labor was preferred over manual labor. Technological innovations, such as steam power and iron founding, allowed for greater production. Canals and railroads were built to allow greater trade. The per capita GDP, which was previously fairly stable, grew significantly in developed countries. Finally, industry took over agriculture’s economic dominance.