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INDUSTRY – SNA

Statistics Directorate    
French Equivalent: Branche d’activité – SCN

Definition:
An industry consists of a group of establishments engaged on the same, or similar, kinds of production activity.

Context:
There is no harmonised definition for the term 'Industry' in business statistics due to its wide usage in different circumstances.

'Industry' is often used as a synonym for 'activity', for the 'industrial sector' and for 'industrial activity'. However, it is broader than the industrial sector in that it may be used to refer to a population based on observation units other than the enterprise or the local unit, namely the kind of activity unit (KAU) or the local KAU. Care should be taken to avoid confusion with a 'branch' which is based on the unit of homogeneous production (UHP) or the local UHP.

The European System of Accounts (ESA) defines the term 'Industry' as consisting of a group of local KAUs engaged in the same, or similar, kind-of-activity. At the most detailed level of classification, an industry consists of all the local KAUs falling within a single class (4-digits) of NACE Rev. 1 and which are therefore engaged in the same activity as defined in the NACE Rev. 1.

Industries comprise both local KAUs producing market goods and services and local KAUs producing non-market goods and services. An industry by definition consists of a group of local KAUs engaged in the same type of productive activity, irrespective of whether or not the institutional units to which they belong produce market or non-market output.

The classification of productive activities used in the System of National Accounts is ISIC (Rev.3).

Source Publication:
United Nations, "System of National Account (SNA).

Cross References:
Activity
Industry – ESA/NACE
Industry – ISIC Rev. 3
Industry – UN
ISIC

Hyperlink:
http://unstats.un.org/unsd/nationalaccount/

Version Indicator: SNA

Statistical Theme: Methodological information (metadata)

Created on Tuesday, September 25, 2001

Last updated on Monday, June 10, 2013