Business services are activities that benefit a company but do not result in a physical product. Companies often rely on these services to complete tasks that fall outside of their expertise or capabilities. For example, if an employee needs help with a computer or technology issue, the company might hire tech support professionals to troubleshoot and resolve the problem quickly so the employees can continue working productively. A company might also use animal control or pest extermination services to take care of a pest infestation, which can disrupt workflow and pose a health hazard for employees.
While most businesses produce a physical good, they also provide services, such as providing ambience, setting and clearing the table and taking the trash out. Many economists see the line between goods and services on a continuum, with pure service at one end of the spectrum and commodity goods at the other end.
When designing a business, it is important for entrepreneurs to understand the differences between products and services. While product designers focus on the characteristics that will appeal to customers, service design is centered on designing customer experiences. This requires a shift in thinking because customers tend to judge service brands on attributes like convenience and friendly interaction rather than price.
The Business services industry includes a wide variety of services that provide companies with everything from human resources to IT to real estate and maintenance. It’s an essential sector for the economy and provides valuable employment for many Americans. The following sections present data on employment and unemployment in the industry as well as projections for future job gains or losses.
