Save Time with an NAICS or SIC Code
Standard Industrial Classification (SIC) was developed back in the 1930s to create a uniform system of classification for business establishments. That is, it is an easy way of classifying a company by what it does. The more recent NAICS codes (North American Industry Classification System) reflect new industry categories and apply to the other NAFTA countries of Canada and Mexico.
SIC and NAICS are expressed in numbers. As an example, a pizza shop is an "Eating Place." It has a four digit SIC of 5812. The 2007 NAICS code for a Full-Service Restaurant is a six-digit code of 722110 while a Limited-Service Restaurant (Pizza Parlor) would get the NAICS code 722211.
Once you have an SIC or NAICS (and it is worth making note of both since some sources still rely on the older system) you can sort through directories and create lists of all the companies in an industry or get information like industry ratio benchmarks. Having the right SIC or NAICS can save time and bother.
Are you interested in a particular company as a part of a particular industry? Then, one approach is to look up information about the company and keep an eye out for their primary SIC code, which is usually provided in most company profiles, and even in many articles. For example, here's a screenshot from a LexisNexis Academic company profile for Dunkin' Donuts:
Although most large companies do more than one thing, the "Primary" or first SIC or NAICS is usually the one you want to use. For DD that would be the bakery classification of 5461.
Industry Profiles also provide SIC/NAICS information. If I look up the industry report for internet auction services in First Research, I see that the appropriate SIC and NAICS are right at the top of that profile:
Want to use a Government search box to quickly find an SIC?
Use Standard Industrial Classification (SIC) System Search
For NAICS, see North American Industry Classification System (NAICS)
And for more information and lots of links, see this page from our Industry Resource Guide
Library Databases Providing Industry Information
You can't create a business (or product) plan without also considering the issues and economics of the appropriate industry, and also related industries that would utilize your products or services. Below is a list of several databases that are useful for getting industry reports and snapshots. Want to know more? Take a look at our guide just on that topic:
- First ResearchAn affiliate of Hoover's (DNB), First Research is much different than the resources listed below. It focuses on small business and includes more than 900 industry segments in 11 major industry categories. Designed as a market analysis tool to help sales/marketing teams, this file is useful to students for its breadth. Profiles include sections like "Products, Operations & Technology" and "Trends & Opportunities." There are State profiles, too.
- Standard & Poor's NetAdvantage: Industry SurveysDesigned as an investment analysis tool, S & P Industry Surveys only profiles about 50 major industries dominated by large public firms. Reports includes information about the current industry environment, industry trends, key industry ratios (for leading companies) and statistics. Click "Industries" in the top frame to begin
- Euromonitor International: PassportEuromonitor's Passport is designed to provide international market (consumer demographics) information. But once you log in, you'll notice an "Industries" pull-down in the top black frame. Only about 25 major industry segments are covered here but you can also simply type appropriate keywords in the upper right search box to explore further. And for more detailed tips see this guide.
- Value Line Research Center: Industry ReportsValue Line is a well-respected stock analysis service which also provides brief industry overviews. Log in, click Standard Edition to the left, then "Look Up Industry." Over 100 industries will be listed, from Advertising to Wireless Networking. Click the PDF symbol to see the Industry Report, which views the health of an industry from the viewpoint of a stock investor.
- Mergent Online: Industry ReportsAnother prime database for doing financial analysis of companies, Mergent also has some industry reports...if you can find them! After entering database, click "Report Search" the far right top tab. On the next screen, below the tabs, look for the grey phrase "Industry Reports" and click it. Check one or more industry and search.
Recent Print Industry Encyclopedias
Encyclopedia of American IndustriesCall Number: HC102 .E53 2011 (at Reference Desk)ISBN: 1414486839Publication Date: 2011Earlier edition available online through GVRL (see link in box to the right). This three volume set gives snapshots of major U.S. industries.
Encyclopedia of Emerging IndustriesCall Number: HC102 .E54 2011 (at Reference Desk)ISBN: 1414486871Publication Date: 2011The latest edition of an encyclopedia for which the previous edition is available through GVRL (linked in box to the right).
Encyclopedia of Global IndustriesCall Number: HD2324 .E528 2011 (at Reference Desk)ISBN: 1414486898Publication Date: 2011Includes both service industries and manufactured products. Earlier edition online (see link to the right).
Subject Guide
Selected GVRL eBooks on Industries
Gale Virtual Reference Library
As indicated on the "Brainstorming" page of this guide, GVRL is a very useful collection of many reference works from a wide variety of publishers. Here are several online catalog links to a few encyclopedias that provide information on specific industries:
Encyclopedia of American Industries 5th ed., 2008
Encyclopedia of Emerging Industries 5th ed., 2007
Encyclopedia of Global Industries 4th ed. 4th ed., 2007
Encyclopedia of Products and Industries - Manufacturing 2v, 2008
Manufacturing and Distribution USA: Industry Analyses, Statistics and Leading Companies 5th ed., 3v, 2009