What is an Industry?
How are industries defined?
Industries are typically defined by NAICS codes. NAICS codes are 6 digit numbers, where each digit indicates a slightly more specific industry.
For example:
33 = Manufacturing
327 = Nonmetallic Mineral Product Manufacturing
3272 = Glass and Glass Product Manufacturing
327211 = Flat Glass Manufacturing
These codes help you to identify competitors, and they can help you find resources that will tell you more about your company's industry.
These codes are used throughout many of the databases that you will be using for this assignment.
Discovering NAICS Codes
There are a few ways you can go about discovering an Industry NAICS code.
The easiest way to do so is to visit the Census' NAICS page. You can then either do a keyword search for your industry on the left hand side of the screen, or you can browse the Classification system by clicking on the reference files (also on the left).
A second effective way to identify a NAICS code is to search in Hoover's. Here you can either do a keyword search for an industry (be sure to click on the "All Categories" dropdown at the top and select "Industries", or you can identify a company in your industry, search for that company, and look at the company's profile to see what industry is listed.
Please be aware that newer industries may not have a NAICS code. Social Networking sites, for example, were only recently added to the 2017 NAICS, and were not previously a recognized industry.
Also be aware that determining the right scope of an industry can be tricky. "Entertainment" for example, is too broad, and is really a market sector rather than an industry. "Ice Skating Rinks" on the other hand is a bit too specific and will be grouped with other "Fitness and Recreational Sports Centers". Be aware that you may have to adjust your industry accordingly based on how that industry is defined.
Identify the Industry
- NAICS Home PageThe North American Industry Classification System (NAICS) website will allow you to identify an industry by either conducting a keyword search, or by browsing the official Classification System.
Analyze the Industry
Industry Report Databases
- IBISWorldIBISWorld provides industry research reports and profiles for over 700 United States industries as well as a wide range of industries in China. Business reports for five categories: industry market research, industry risk ratings, company research, global industry research, and economic and demographic data. Each report provides key statistics, market characteristics and segmentation, industry conditions, leading competitors, industry performance analysis and future outlook.
- BizminerProvides detailed industry analysis and market research reports on more than 16,000 lines of business in national and local markets. Their many uses include valuation, business plans, due diligence and competitive benchmarking. Industry reports cover profit and loss, balance sheets, financial ratios, start-up trends, and more. Financial reports allow you to compare businesses in a specific sales class and geographic area to industry average benchmarks and competitors.
Article Databases (including Trade & News publications)
- Trade publications are essentially news resources for a specific field. For example, “Computerworld” is an example of a trade publication for Computer Hardware and Software related industries. Trade publications are usually good for keeping up-to-date in the industries covered by that publication.
- Business Source CompleteBusiness Source Complete provides full text for scholarly business journals and other sources, including full text for more than 1,800 peer-reviewed business publications. Coverage includes virtually all subject areas related to business. This database provides full text (PDF) for top scholarly journals, including the Harvard Business Review. It also includes industry and country reports from Euromonitor and company and industry reports from Datamonitor.
- ABI/InformABI/Inform, an extensive international business and management database, contains bibliographic citations, abstracts, and full text of articles appearing in professional publications, academic journals, and trade magazines published worldwide. ABI/Inform covers the areas of accounting, banking, computers, economics, engineering management, communications, finance, health care, human resources, insurance, international trends, law, management, marketing, public administration, real estate, taxation, transportation.
- FactivaFull-text online service for international news and business information. Covers over 28,000 sources in 23 languages in more than 150 countries. Some company and market research is included. Factiva includes full-text coverage of the Wall Street Journal.
Market Research Report Databases
- Market Research Reports tend to focus a bit more on consumers for a product or service type more than the general nature of an industry or its’ competitive landscape, but some information about the industry can almost always be gleaned from the reports.
- Mintel AcademicOffers yearly market research reports covering UK, Europe, US and International consumer markets for products, markets and demographics. Analysis includes market sizes and forecasts, market trends, market segmentation, competitive context, broken down segment performances, retail channels, consumer demographics and survey results, leading companies, brand share, marketing strategies, and more.
- PassportExcellent resource for international industries, countries, markets, and products. Market research reports, statistics, and analyst reports cover consumer market sizes, country market data, forecasts, consumer lifestyles, companies and brands, and many product & location specific reports.
- Frost & SullivanIn-depth market research and strategy reports with European and global coverage of the following areas: Aerospace & Defense; Automotive & Transportation; Chemicals, Materials and Food; Electronics & Security; Energy & Power Supplies; Environment & Building Technologies; Healthcare; Industrial Automation & Process Control; Information & Communication Technologies; Measurement & Instrumentation. Covers 1998 to present, updated as new reports are produced.
Company analysis tools (with an industry analysis component).
- Company analyst reports are typically only available for public companies. When they are available, good company analyst reports will place some focus on the industry and the company’s position in that industry.
Other tools - These tools offer data and statistics in more visual ways.
- SimplyAnalyticsSimplyAnalytics is a web-based mapping application that allows you to create thematic maps and reports using demographic, business, and marketing data for the United States. Excellent source for locating demographic and marketing data for specific geographic locations.
- StatistaStatista provides access to statistics and studies gathered by market researchers, trade organizations, scientific publications, and government sources on over 600 industries.
Mergent Online is also a useful database for identifying competitors.
Please be aware that tools like Bloomberg and CapitalIQ can also be used for basic industry analysis. These tools are available in Mann Library at dedicated terminals. Please visit the Mann Library Information desk, or contact Tom Ottaviano at tjo65@cornell.edu if you would like to use one of them.
Identify Competitors in the Industry
- Mergent IntellectMergent Intellect is a highly flexible web-based application that features a deep collection of worldwide business information that enables companies to generate insightful business intelligence. Coupling Mergent's expertise in developing products for the reference marketplace with D&B's private company database, Mergent Intellect offers new and existing clients a unique opportunity to access private and public U.S and international business data, industry news, facts and figures, executive contact information, the ability to access industry profiles and much more.
Please be aware that tools like Bloomberg and CapitalIQ can also be used for identifying competitors. These tools are available in Mann Library at dedicated terminals. Please visit the Mann Library Information desk, or contact Tom Ottaviano at tjo65@cornell.edu if you would like to use one of them.