Standard Industrial Classification

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Standard Industrial Classification (SIC)

A code system that designates a unique business activity classified by industry.
Copyright © 2012, Campbell R. Harvey. All Rights Reserved.

Standard Industrial Classification

A system of four digit codes used in business to classify the industry to which a company belongs. The SIC was created by the U.S. government in 1937 to facilitate communication within and between businesses and industries. For the most part, the SIC was replaced by the six digit NAICS in 1997, but the SEC still uses the SIC. For example, an oil and gas exploration company might file with the SEC under the code 1382.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved

Standard Industrial Classification (SIC)

a system which codifies and measures groups of economic activity at various levels of aggregation and disaggregation. In the UK, the Standard Industrial Classification comprises 10 major divisions, 60 classes, 222 groups and 334 activities. Activities, or their equivalent ‘industries’ (see INDUSTRY), are derived on the basis of their supply characteristics, in particular the use of common raw materials and processes of manufacture. Such a classification provides a useful source of information on industry structure and statistical details of employment, output and investment by the industrial sector. However, for purposes of MARKETING strategy, SIC data usually needs to be reinterpreted in order to provide more meaningful specifications of MARKETS, defined in terms of groups of products which are regarded by buyers as close substitute products. To illustrate, glass jars and metal cans are assigned to different industries by the SIC (Division 2, Activity ‘glass containers’, Division 3 ‘packaging products of metal’, respectively), but would be regarded by a user of packaging materials such as a coffee manufacturer as substitute products. See STRUCTURE OF INDUSTRY.
Collins Dictionary of Business, 3rd ed. © 2002, 2005 C Pass, B Lowes, A Pendleton, L Chadwick, D O’Reilly and M Afferson

standard industrial classification

see INDUSTRIAL CLASSIFICATION.
Collins Dictionary of Economics, 4th ed. © C. Pass, B. Lowes, L. Davies 2005
References in periodicals archive ?
We eliminate 393 acquisitions by bidders whose core businesses are in non-manufacturing industries (Finance, Insurance and Real Estate, with 2-digit SIC codes from 60 to 67, and Services, with 2-digit SIC codes from 70 to 89).
* Tables showing correspondence between 1997 NAICS and 1987 SIC codes
[sections] 1.861-8(e)(3)(i)(b) provides that a taxpayer shall determine the relevant product categories by reference to the three-digit classification of the Standard Industrial Classification Manual (SIC codes).
As can be inferred, proper use of SIC codes by taxpayers will be critical in the future.
The following charts and graphs show employment in thousands of workers, hours worked and hourly earnings for the major SIC codes in the metalcasting industry, as reported by the Bureau of Labor Statistics for the past 10 years.
The 1987 SIC codes for firms in these industries, the direct conversion group, were determined solely from the 1972 SIC-based codes.
According to the company, the chief characteristic that distinguishes the NAICS system from SIC codes is that NAICS focuses on processes rather than on products--in other words, the "how" as opposed to the "what." Therefore, NAICS contains new industry sectors, such as "information," which include traditional publishing industries, software and database publishing, broadcasting, and other businesses that produce information.
A "qualified person" is defined by the statute as any person that satisfies two requirements:(28) First, the qualified person must have first commenced trade or business activities in a new trade or business in California on or after January 1, 1994.(29) The second requirement is that the qualified person must be engaged in those manufacturing lines of business described in SIC Codes 2,000 to 3,999, inclusive.(30)
It first selected from a computerized market analysis 145 potential prospects, chosen on the basis of employment size, geographic location, six-digit SIC codes and prior knowledge.
The SIC codes are arranged by one-digit divisions, two-digit major groups of industries, three-digit industry groups and four-digit industries.
Included will be detailed company profiles and business descriptions (name/address/phone/fax, contact names/titles, ticker symbol, SIC codes, number of employees, etc.); fundamental financial data (e.g., five-year Summary of Sales and Net Income, Income Statement); officers/directors, with name, age, title and salary; the full text of the President's Letter and Management Discussion; and sales volume and total output/sales codes.
The statute is explicit that only a "qualified taxpayer" may claim the credit,(13) but does a poor job in defining that term.(14) Indeed, the statute states only that a qualified taxpayer is a taxpayer "engaged in those lines of business" described in SIC Codes 2000 to 3999 inclusive, which are generally regarded as the SIC codes for manufacturing operations.