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DEFINITION of 'Industrialization'. The process in which a society or country (or world) transforms itself from a primarily agricultural society into one based on the manufacturing of goods and services.
Impact. Industrialization increased material wealth, restructured society, and created important new schools of philosophy. The social impact of industrialization was profound. For the first time since the Neolithic Revolution, people worked outside of the local environment of their homes. They arose every morning and traveled to their place of employment. This was most often in a workplace known as a factory.