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This R package was designed to ease working with the North American Industry Classification System (NAICS). NAICS uses a hierarchical structure to classify businesses into industries based on the similarity of their production processes. The structure is designed to offer a high level of detail while also being adaptable to the changing economic landscape.
NAICS codes are typical components of firmographic datasets including Dunn & Bradstreet and Experian B2B.
The package contains taxonomy elements for sector lookup and labeling at varying levels of detail.
Using the package Link to heading
- In an R console:
install_github('angelesanalytics/naics')
- Import as
library(naics)
- Access via the
naics22
dataset, e.g.head(naics22
)
NAICS 2022 Code Guidelines downloaded from US Census NAICS website
The North American Industry Classification System (NAICS) uses a hierarchical structure… Link to heading
to classify businesses into industries based on the similarity of their production processes. The structure is designed to offer a high level of detail while also being adaptable to the changing economic landscape.
NAICS codes, along with SIC codes, are typical components of firmographic datasets including Dunn & Bradstreet and Experian B2B.
When starting a new application, NAICS should be the source of choice over SIC. NAICS represents a more modern taxonomy while SIC provides a means of compatibility with legacy applications.
NAICS Code Structure: Link to heading
The NAICS codes consist of six digits, each level of detail adding a layer of specificity to the industry classification.
-
First Two Digits - Sector: This level of classification groups industries into larger sectors of related activities, such as Manufacturing, Retail Trade, or Health Care and Social Assistance.
-
Third Digit - Subsector: Subsectors represent a grouping of industries within the broader sector that share a common focus or production process.
-
Fourth Digit - Industry Group: The fourth digit indicates the industry group. Industry groups contain one or more related industries that are more specific than the subsector level.
-
Fifth Digit - NAICS Industry: This level provides a more detailed classification than the industry group, often distinguishing between different production, manufacturing, or service processes.
-
Sixth Digit - National industries: This level of detail allows for the identification of specific industries within the national context of the United States, Canada, or Mexico. It reflects the nuances and economic conditions specific to each country, offering the most detailed classification.
Examples of NAICS Code Structure: Link to heading
- 72 - Accommodation and Food Services (Sector)
- 722 - Food Services and Drinking Places (Subsector)
- 7225 - Restaurants and Other Eating Places (Industry Group)
- 72251 - Restaurants and Other Eating Places (NAICS Industry)
- 722513 - Limited-Service Restaurants (National Industry)
- 72251 - Restaurants and Other Eating Places (NAICS Industry)
- 7225 - Restaurants and Other Eating Places (Industry Group)
- 722 - Food Services and Drinking Places (Subsector)
- 33 - Manufacturing (Sector)
- 334 - Computer and Electronic Product Manufacturing (Subsector)
- 3342 - Communications Equipment Manufacturing (Industry Group)
- 33422 - Radio and Television Broadcasting and Wireless Communications Equipment Manufacturing (NAICS Industry)
- 334220 - Radio and Television Broadcasting and Wireless Communications Equipment Manufacturing (National Industry)
- 33422 - Radio and Television Broadcasting and Wireless Communications Equipment Manufacturing (NAICS Industry)
- 3342 - Communications Equipment Manufacturing (Industry Group)
- 334 - Computer and Electronic Product Manufacturing (Subsector)