Large scale industries contribute significantly to the economy by creating revenue and jobs. Furthermore, these large scale industries help reduce poverty and hunger among their employees and the communities at large.
At Akro Industries, they recycle bye-products of their industry to lower production costs while simultaneously expanding globally to tap various markets for revenue generation.
Manufacturing
Manufacturing creates economic value by adding to raw materials by turning them into finished goods and services. Manufacturing plays an integral part in economic development and can be measured using various ratios such as the Manufacturing Value Added (MVA) indicator.
Government agencies and economies utilize various indicators to gauge the importance of manufacturing sectors around the world. Yet as economies become more globalized, manufacturing’s role is changing accordingly – no longer can the US enjoy superior resources, human capital, or investments in productivity-enhancing machinery to dominate this globalized manufacturing market.
Furthermore, many manufacturing activities that fall outside the official statistics such as corporate management and R&D operations are classified as services rather than manufacturing activities; as a more holistic view of manufacturing would encompass them all – for example the upstream activities that go into creating manufactured goods destined to final demand such as coal for steel factories or R&D activities for manufacturing firms.
Services
Services activities, like tourism and banking, play an essential part of any country’s economy. Services contribute nearly one-third to global GDP, more than either manufacturing or mining combined, creating many jobs while serving as an incubator of innovation. It can be hard to accurately measure how much services contribute as data can often be inconsistent and unreliable.
Small businesses comprise over 90% of all businesses worldwide and account for 70% of all global gross domestic product (GDP). They play an essential role in providing employment, fostering inclusion, and moving economies towards sustainable futures.
Small businesses remain resilient in spite of global economic slowdown, unlike their larger counterparts that were relatively spared during COVID-19 pandemic. This is because small businesses serve as key sources of innovation and are easily adaptable to shifting market conditions; moreover, localized services provided by these smaller businesses offer greater value than competing global firms can.
Trade
Commerce relies heavily on small businesses as the building blocks for larger ones. Not only are they an important source of jobs and innovation, but they are also central in helping us transition towards digital economic systems.
Yet, despite their significance, nonprofits still face many hurdles to scale and are vulnerable to cyberattacks; yet often get forgotten in corporate responsibility reporting. We must change this.
Trade can bring many benefits, yet not everyone stands to gain from it. Firms and workers who find themselves losing out to more efficient foreign competitors often lobby against trade, seeking tariff barriers as a protectionist measure against cheap imports.
Companies that recognize and embrace the power of small business can unleash amazing results. Walmart has allocated resources to assist small vendors comply with its sustainability reporting requirements while HSBC is offering financing opportunities for SMEs to facilitate environmental transition efforts.
Investment
Investment activities are essential to economic development in many nations. Investment in research and development, new equipment or factories, or other capital goods increases labor productivity which translates to higher GDP for their nation. Countries with successful investment histories can share their expertise for attracting and retaining investments with other nations seeking to improve their own business climates – Rwanda has recently been recognized by the World Bank’s Doing Business report as one of the leading reformers globally.
