Base Industry

Definition: An industry that brings income into a local economy by serving outside markets, supporting additional local activity.

Example

A local manufacturer sells products nationally and pays wages within the community.

Keep the distinction clear

An industry serving mostly local residents plays a different economic role. A single business can serve both outside and local markets.

Related terms

Economic Base Analysis · Commercial Property · Industrial Property

Keep studying

Income Approach: NOI, Cap Rate, Property Value, and Cash-on-Cash Return

References: FREC Course II syllabus: investment concepts

Pronunciation (US): BAYS IN-duh-stree (capitals show stress)

Pronunciation reference: Merriam-Webster