When an industry engages in the processing of raw materials and production of items in large scale, this is known as the production industry. In almost all cases, the product formed is totally different from the raw product, or that product may be added value. The product obtained from the process may become the final one, or may also be used as an intermediate in manufacture of another one. Industrial manufacturing refers to the large scale production of items.
The main reason for existence of these kinds of industries is to produce commodities. These goods are produced in massive quantities, contrary to artisanal types of production, which are more of craft in nature. Another distinction is that these goods are generated in the factories, and they are normally in very large quantities. Examples of things manufactured industrially are clothes, soft drinks and tissue papers. Plastic and electronic manufacturing are also in this category.
The history of production in US is long and convoluted. At the time of industrial revolution in the 19th century, the country was transformed from a farming-based economy to an industrialized one, where much of its income was derived to exporting manufactured goods to overseas countries. Even the prosperity that was witnessed by the end World War II was mainly due to the booming of the production sector.
Production is significant to any economy, especially in the creation of jobs. Also, it forms a significant part of the wealth of a nation. When a country manufactures more products, and exports more than it imports, this is known as trade surplus.
When a particular country has trade surplus, it essentially means that it is receiving more money from its exports than it is spending on imports. The reason America enjoyed a trade surplus in the last half of 19th century is because of its production sector, which was quite steady at that time. Today, though, the sector is not as robust, and this has consequently led to a trade deficit.
Production has lots of advantages to an economy, which normally include creation of employment and also development of newer technologies. If a report by the New York Business Council is to be believed, then over 70% of private-sector research and development projects are catered for by the sector. This sector also contributed to 12% of American GDP in 2006.
Manufacturers are crucial to all economies. If you take into account the crucial role that manufacturing companies play in creating everyday products, then you will agree that they are indeed the bulwark of the economy. Products like tissue papers, soft drinks, sugar among others, must be produced in mass to cater for more than 400 million citizens of America who use it.
Recently however, US economy has been leaning more on the service-sector jobs, leading to shrinking of the industrial sector. While this may be thought of as being advantageous, considering how complicated and complicated the production process is, it may have a negative impact on the economy. The importance of industrial manufacturing cannot be overemphasized, as this sector contributes immensely to the wealth of a nation, as well as in reducing unemployment in a country.
The main reason for existence of these kinds of industries is to produce commodities. These goods are produced in massive quantities, contrary to artisanal types of production, which are more of craft in nature. Another distinction is that these goods are generated in the factories, and they are normally in very large quantities. Examples of things manufactured industrially are clothes, soft drinks and tissue papers. Plastic and electronic manufacturing are also in this category.
The history of production in US is long and convoluted. At the time of industrial revolution in the 19th century, the country was transformed from a farming-based economy to an industrialized one, where much of its income was derived to exporting manufactured goods to overseas countries. Even the prosperity that was witnessed by the end World War II was mainly due to the booming of the production sector.
Production is significant to any economy, especially in the creation of jobs. Also, it forms a significant part of the wealth of a nation. When a country manufactures more products, and exports more than it imports, this is known as trade surplus.
When a particular country has trade surplus, it essentially means that it is receiving more money from its exports than it is spending on imports. The reason America enjoyed a trade surplus in the last half of 19th century is because of its production sector, which was quite steady at that time. Today, though, the sector is not as robust, and this has consequently led to a trade deficit.
Production has lots of advantages to an economy, which normally include creation of employment and also development of newer technologies. If a report by the New York Business Council is to be believed, then over 70% of private-sector research and development projects are catered for by the sector. This sector also contributed to 12% of American GDP in 2006.
Manufacturers are crucial to all economies. If you take into account the crucial role that manufacturing companies play in creating everyday products, then you will agree that they are indeed the bulwark of the economy. Products like tissue papers, soft drinks, sugar among others, must be produced in mass to cater for more than 400 million citizens of America who use it.
Recently however, US economy has been leaning more on the service-sector jobs, leading to shrinking of the industrial sector. While this may be thought of as being advantageous, considering how complicated and complicated the production process is, it may have a negative impact on the economy. The importance of industrial manufacturing cannot be overemphasized, as this sector contributes immensely to the wealth of a nation, as well as in reducing unemployment in a country.
About the Author:
This piece was produced on behalf of Origin Manufacturing who are a manufacturing company based in Ireland.
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