NAICS stands for which of the following?

NAICS stands for which of the following?

• A. North American Industrial Classification System
• B. North American Industry Classification System
• C. North American Industrial Classification Standard
• D. North American Industrial Code System

Answer: (A)

NAICS stands for North American Industry Classification System. The word Industry describes the type of economic activity a company is engaged in, and Classification System conveys that this is a formal method for organizing those activities into a structured taxonomy. This shared standard is used across the United States, Canada, and Mexico to collect and compare economic data, helping governments and researchers analyze industries, employment, output, and trends. It replaced the older SIC system to provide a more current and detailed framework. The other options use terms that aren’t the official name—Industrial, Standard, or Code System—so they don’t match the established designation.

NAICS stands for North American Industry Classification System. The word Industry describes the type of economic activity a company is engaged in, and Classification System conveys that this is a formal method for organizing those activities into a structured taxonomy. This shared standard is used across the United States, Canada, and Mexico to collect and compare economic data, helping governments and researchers analyze industries, employment, output, and trends. It replaced the older SIC system to provide a more current and detailed framework. The other options use terms that aren’t the official name—Industrial, Standard, or Code System—so they don’t match the established designation.