Arizona Industry Manufacturing in the State of Arizona has grown rapidly since World War II. It has since became the state's leading economic activity in the 1970s. Factors contributing to this growth included a favorable tax structure, available labor, plentiful electric power, and low land costs. The major manufacturing centers are the Phoenix and Tucson areas. Principal industries include nonelectrical machinery, electrical and electronic equipment (computers, semiconductors, communication equipment), aircraft equipment, food products, and printing and publishing. Military equipment accounts for much of the output. The total value added by manufacturing in 1997 amounted to an estimated $44 billion. The major manufacturers in Arizona include: Motorola, Allied Signal Aerospace, Honeywell, Hughes Missile Systems Co., and Intel. Intel expanded its operations in Arizona with the construction of a $1.3 billion plant in 1994. Arizona had 7,708 wholesale trade establishments in 1997, according to the Census of Wholesale Trade; with most wholesale establishments concentrated in Maricopa and Pima Counties. Retail trade was conducted by 23,469 establishments in 1997, with sales of $44.9 billion, and the fourth highest growth rate (53%). Automotive dealers accounted for 11% of establishments; food stores, 9%; and eating and drinking places, 32%. Food stores sold a total of $8.8 billion in 1997, while general merchandise stores sold $5.3 billion. 
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