What Is a Business Service?

Business services

A Business service is a special kind of support for businesses. Unlike other types of services, a Business service does not have a tangible product. In fact, it is in the continuum between a commodity and a service. In essence, it is a type of career. Businesses can either be the provider of the service or the consumer. Here are some of the characteristics of a Business service. If you have an interest in Business services, consider a career in this field.

Business services are specialized support services

Some types of businesses offer business support services. Such support services include warehousing and storage of general goods. Other types of businesses include professional services. A secretarial service may offer a variety of functions, from assessing prospective clients to drafting contracts and completing legal documents. Other services may focus on customer relationship management or accounting. Business services are also available to support marketing efforts, including the development and formulation of customer service policies.

They are not a tangible product

Unlike physical products, business services are not tangible products. However, they are a crucial part of any business. A tangible product is easily assessed and can be counted. The customer can also see, touch, and feel it. This makes it easy for consumers to determine the quality and durability. For example, a consumer will check every aspect of a home before making a purchase. A business should do the same for its clients.

They are a continuum between service and commodity

In a nutshell, business services fall somewhere along a continuum between a commodity and a service. Commodities provide the material elements necessary to make a product; services provide the physical parts. Businesses vary in how they provide services, with many products being a hybrid of both. The most basic example is the restaurant industry. Both restaurants and airlines provide a physical product and a service. Other examples include utilities, which deliver both physical goods and services. In the European Union, electricity supply is a service, while in the United States, it is a good.

They are a career path

The business services industry is one of the largest sectors in the U.S., accounting for over 70 percent of the GDP. This industry has a wide range of job opportunities ranging from small-scale to multinational. While business services workers aren’t typically involved in the creation of products, they often work with people and need to have excellent people skills and problem-solving abilities. This career path can be rewarding and challenging.

They lack inhomogeneity

Inhomogeneity is an important characteristic of goods and services, which means that the same characteristics don’t exist in all instances. One bank employee can be kind to one customer while being rude to another. Similarly, services are not stockpiled or exchangeable, so they may differ from one customer to another. Inhomogeneity is a big problem for business services, as they don’t have a standardized form and are thus not comparable across consumers.

They are non-stocking

Unlike a physical item, a business service cannot be exchanged. The payment made by a patient for a service cannot be exchanged for ownership of that service. For example, a bank employee may be kind to one customer, but harsh toward another. In this way, a business cannot store its services. Because they are non-stocking, they must be purchased or provided in a timely fashion.