What is the 'Consumer Goods Sector'

The consumer goods sector is a category of stocks and companies that relate to items purchased by individuals rather than by manufacturers and industries. This sector includes companies involved with food production, packaged goods, clothing, beverages, automobiles and electronics.

BREAKING DOWN 'Consumer Goods Sector'

Performance in the consumer goods sector depends heavily on consumer behavior. When the economy grows the sector will see an increased demand for higher-end products. When the economy shrinks there is an increased demand for value products. While some product types, such as food, are necessary, others, such as automobiles, are considered luxury items.

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RELATED FAQS
  1. How does the risk of investing in the food and beverage sector compare to the broader ...

    Find out why investing in the food and beverage sector is generally considered to be less risky than investments in the broader ... Read Answer >>
  2. How attractive is the food and beverage sector for a growth investor?

    Learn how the food and beverage sector's volatility makes it attractive to growth investors, and discover how these investors ... Read Answer >>
  3. What is the historic average annual return of the food and beverage sector?

    Examine the current state of the food and beverage sector, along with learning the historical average annual returns for ... Read Answer >>
  4. What countries are driving most of the growth of the food and beverage sector?

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  5. Which economic factors most affect the demand for consumer goods?

    Understand how key economic factors such as inflation, unemployment, interest rates and consumer confidence affect the level ... Read Answer >>
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