Cyclical Industry(redirected from Cyclical Industries)
An industry that tends to do poorly when most of the economy as a whole is performing poorly, and well when the economy is doing well. Cyclical industries may represent publicly-traded companies that are perceived to sell luxuries or products. For example, car companies sell expensive products (cars) that many people perceive to be necessities. However, because cars are expensive, consumers in bad economic times may decide to wait to buy cars until the economy improves. On the other hand, car companies tend to do rather well when the economy is doing well.