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Question : The best exmple of a capital intensve industry in India is

Option 1: Textile industry

Option 2: Steel industry

Option 3: Tourism industry

Option 4: Sports goods industry


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Team Careers360 1st Jan, 2024
Answer (1)
Team Careers360 12th Jan, 2024

Correct Answer: Steel industry


Solution : The correct option is Steel industry.

 

The steel industry in India is capital-intensive because it requires substantial investments in machinery, infrastructure, and specialized facilities like blast furnaces and rolling mills. It also demands significant capital for raw materials like iron ore and coal, as well as for energy and transportation. Expanding and modernizing steel production capacity involves substantial financial resources. This sets it apart from labor-intensive industries where a larger portion of costs come from labor. This capital-intensive nature reflects the industry's technological sophistication and its crucial role in India's industrialization and economic development.

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