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SCOPE AND BOUNDARY ISSUES
In determining the scope of the three classifications of the ACLC or, in other words, what should be included and excluded from each classification, the following questions were considered:
Products which may be used for cultural and leisure purposes, but for which the main intended use is not related to culture and leisure, are excluded from the Product Classification. For example, creating graffiti art is a leisure activity and a cultural activity, and paint, particularly in spray cans, is used for this activity. However, when developing the ACLC the view was taken that graffiti art was neither the predominant nor intended use of paint in spray cans. Thus, these products are out of scope of the Product Classification and businesses mainly engaged in their manufacture are out of scope of the Industry Classification.
Similarly, hosting dinner parties in one’s own home is regarded by the ABS as a leisure activity. However, the manufacture and sale of the foods and drinks used in the preparation of a dinner party are not distinguishable from the manufacture and sale of foods and drinks used in the preparation of everyday meals in the home, which is a personal care activity. Thus, foods and drinks and their manufacture and sale are out of scope of the Product and Industry Classifications.
The same reasoning applies to occupations which have been excluded from the Occupation Classification because, although some people involved in the occupations would be working in specialisations related to culture and leisure, the majority would not be.
Finally, there is a range of leisure activities for which there are, by their nature, no associated industries, products or occupations. Examples of such activities are visiting a friend, resting, sitting in the back yard, daydreaming, and playing ‘hide and seek’ with one’s children.
In general, the good or service which directly supplies a consumer with a cultural or leisure opportunity is in scope of the Product Classification. Businesses mainly engaged in the production or provision of that good or service are in scope of the Industry Classification. However, the goods and services one step back along the chain of supply are out of scope. Two illustrations of this principle are included below.
As eating out is a leisure activity, the Product Classification includes a number of classes covering food and beverage serving services; the Industry Classification includes businesses mainly engaged in providing such services, e.g. cafes, restaurants, pubs and hospitality clubs; and the Occupation Classification includes those occupations directly involved in providing the leisure opportunity (i.e. preparing and serving the food and drinks). However, the step further back in the supply chain is not covered by the ACLC. For example, glasses, tables, chairs and tablecloths are not in scope of the Product Classification, both because they are a step back in the chain of supply and because their predominant uses are not for culture and leisure purposes.
Television sets are in scope of the Product Classification as they enable people to watch TV, which is one of the most popular leisure activities. Businesses mainly engaged in the manufacture and sale of TVs and other home entertainment equipment are in scope of the Industry Classification. However, the raw materials and components used in the manufacture of TVs are not in scope of the ACLC.
Some businesses are included in the ACLC Industry Classification because they predominantly produce goods or services only to 'support' arts and cultural activities and are only one step back in the supply chain. These are termed 'support services' and they generally supply directly to other industries in the ACLC Industry Classification. An example of this is event management companies promoting and presenting a major sporting event, such as the Olympic Games.