4.2 "The Competition", NAICS, (and SIC)

One way to investigate "the competition" is to determine other businesses which fall into the same classification as our business of interest. Buckner mentions Standard Industry Classification (SIC) codes in the readings. The North American Industry Classification System (NAICS) replaced SIC for the 2002 Economic Census and going forward (and correlates to codes used in Mexico and Canada—part of the North American Free Trade Association, or NAFTA). In your exploration of business classification, investigate NAICS and related topics:

1. Review the "Introduction" to the North American Industry Classification System (NAICS) on the US Census Bureau website.
2. Using the 2022 NAICS Search tool on the same page, identify the NAICS code for the business you select in the Do: Site Visit to Your Selected Business activity below.
3.  The US Government discontinued use of the Standard Industry Classification (SIC) groupings in 1997. While SIC codes have been replaced by NAICS, you'll still find instances where knowing a SIC code, or how to find it, is valuable.
4. You may also reference the System for Award Maintenance (SAM) for additional information on NAICS, DUNS, and legal name for commercial entities doing business with the US Federal Government.
5. OPTIONAL: Returning to the 2022 NAICS Main page, locate the North American Product Classification System (NAPCS). Skim though NAPCS material until you can answer the following question—what is the value of NAPCS if we already have NAICS?

Do: Site Visit to Your Selected Business

Consider this activity our virtual class "field trip"—one which you'll do independently, however. You are selecting a site location, so choose something interesting; but with COVID-19 in mind, you are definitely not required to physically go to any retail establishment or store.

If you are performing a remote drive-by reconnaissance, make sure you have a way to take notes and photos with your smartphone or digital camera.

1. Choose a nearby location of one of the following retailers (preferably one that you actually shop at!): Best Buy, Target, Albertsons Companies supermarkets, Bed Bath & Beyond, ACE, Lowe’s (or some other national retailer with which the class will be familiar).
2. Complete the sample "site evaluation form" in Figures 5-2 and 5-3 (Buckner, Site Selection, Chapter 5).
3. Add to the form comments about accessibility, "synergy," and safety/security from the reading.
4. Obtain images through a web search, take a picture of the site, or sketch a diagram/capture a map which illustrates a point you wish to make - likely about parking, signage, synergy/adjacency to other retailers.