What Is The Difference Between A Firm And An Industry?

10 Answers

Rosie Normanton Profile
Rosie Normanton answered
An industry is the name given to a certain type of manufacturing or retailing environment. For example, the retail industry is the industry that involves everything from clothes to computers, anything in the shops that get sold to the public. The retail industry is very vast and has many sub divisions, such as electrical and cosmetics. More specialised industries deal with a specific thing. The steel industry is a more specialised industry, dealing with the making of steel and selling it on to buyers. 
The difference between this and a firm is that a firm is the company that operates within the industry to create the product. The firm might be a factory, or the chain of stores that sells the clothes, within its industry. For example, one firm that makes steel might be Avida steel. They create the steel in that firm for the steel industry.
A firm is usually a corporate company that controls a number of chains in the industry it is operating within. For example in retail, the firm Arcadia stores owns the clothing chains Topshop, Dorothy Perkins, Miss Selfridge, and Evans. These all operate for the firm Arcadia within the industry of retail.
Several firms can operate in one industry to ensure that there is always competition to keep prices reasonable and stop the market becoming a monopoly, which is where one firm is in charge of the whole industry. Sometimes, a firm is not necessary within the industry and independent chains and retailers can enter straight into the market without a firm behind them, although this is risky. This is because one of the advantages of having a firm behind you is that it is a safeguard against possible bankruptcy because the firm can support the chain that it owns.
Yasir Baqar Profile
Yasir Baqar answered
Industry is the collective name of no. Of firms (producing similar products) and a firm is just a part of that industry (representing the whole industry).

Anonymous Profile
Anonymous answered
Industry is a group of firms , producing same product like cotton industry , steel industry
while firm is a unit , it can be partnership or corporation, producing a product
Nick Smart Profile
Nick Smart answered
A firm is a single business. An industry includes any business that produces certain services or products. For example the energy industry include companies involved in oil, natural gas, and electricity.
Anonymous Profile
Anonymous answered
A firm is a business organization that owns and operates plants. Some firms operate only one plant, but many own and operate several.

A industry is a group of firms that produce the same, or similar, products.
Nkwocha Chinedu Profile
Nkwocha Chinedu answered
A firm is a unit of an industry that specializes in the production of a particular commodity or service in an industry where-as,an industry is the collection of  the firms that produces similar product
Ilori Oluwaseun Profile
Ilori Oluwaseun answered
A firm is an organisation set up to carry out business activities such as production of goods and services while an industry is a group of firms producing similar commodities or rendering similar services.
swapnil more Profile
swapnil more answered

A firm is a business organization, such as a corporation, limited liability company or partnership, that sells goods or services to make a profit. ... "Firm" is often used interchangeably with "business" or "enterprise."

for example Wedding Choreography Services can

provider is measure in firm

not TATA mortars

Maha ... Profile
Maha ... answered
A firm is a business organization that owns and operates plants. Some firms operate only one plant, but many own and operate several.
A industry is a group of firms that produce the same, or similar, products.

Answer Question

Anonymous