This document discusses Erikson's stage of Industry vs. Inferiority which preschool children experience. In this stage, children begin school where they learn through long, patient work which builds industry, or feel inferior if they cannot complete tasks. Their self-concept and ability to form friendships is influenced by growing interactions with parents, teachers, and classmates at this age. Teachers and parents can help children develop friendships and self-control through encouraging peer interaction and acknowledging mature behaviors.