The North American Industry Classification System (NAICS)

1 answer:

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Answer: E. provides common industry definitions for Canada, Mexico, and the United States to measure economic activity in the three member countries.

Explanation: Under the patronage of the Office of Management and Budget (OMB), the NAICS was developed and adopted in 1997. This was to replace the Standard Industrial Classification (SIC) system and its purpose was to classify business establishments for the purpose of collecting, analyzing, and publishing statistical data related to the U.S. business economy. The North American Industry Classification System is the standard used by Federal statistical agencies and it allow them to focus their Targeted Marketing Efforts on companies in the same niche, as a result one can garner a better understanding of their best customers and the industries that might best benefit from their products and services. It provides common industry definitions for Canada, Mexico, and the United States to measure economic activity in the three member countries.

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