Main ingredients of modern industries :
- Raw material
- Availability of skilled labour
- Organisation and management by efficient hands
- Means of transport and communication
- Market for the products.
Let us discuss each of them in some detail:
- Raw material. Availability of raw material is the first and the foremost pre-requisite of any industry. This is more true in case of modem industries which is characterised by the production on a mass scale.
- Skilled labour. Well qualified and efficient labour is a ‘must’ for processing raw material and transforming it into the finished product.
- Capital. Purchasing raw material, employing labour on a large scale and setting up huge power-driven machines for quick and mass scale production, in turn, call for huge capital.
- Organization and management. Efficient and enterprising organisation and management is yet another characteristic of the successful modem industry.
- Market. Production on a large scale presupposes a potentially big market or demand for the finished products.
- Means of transport and communication. The collection of raw materials and the distribution of the finished products demand an efficient network of the means of transport and communication, including facilities for financial transactions.
All these factors put together provide the necessary set-up for developing modem industry.