Business services are activities that support a business, but do not produce or deliver a tangible product. This includes everything from IT and accounting to legal and facility management. These services help companies lower costs, improve efficiency and increase productivity. Companies that don’t have the expertise in-house may outsource these services to save time and money. This also allows the company to focus on its core business and leave noncore services to specialists.
A career in business services is a great option for people who want to work with others. If you have excellent communication and interpersonal skills, this type of job can be rewarding. You can also advance in the field, depending on your skill set and experience. However, it is important to understand that some positions are high-pressure, so if you don’t handle stress well, this could be a bad choice for you.
The business service industry has a wide range of professions, from travel agents to marketing professionals. The good news is that jobs in the business services sector have been growing rapidly. Moreover, these jobs pay well and offer other benefits like paid vacations and medical insurance. If you are interested in a career in this area, here are some tips to get you started.
Many different types of business services are available, including those related to information technology, warehousing, transportation, insurance and communications. These services are necessary for the proper functioning of businesses. For example, business enterprises need banks for the availability of funds; insurance services to protect them against financial losses; warehousing services to store raw materials and finished goods; and transport services to carry them to customers and suppliers.
Another characteristic of business services is that they are intangible and cannot be physically touched or seen. Additionally, they often include interaction between the service provider and the customer. This means that the quality of a service can be influenced by the level of interaction between the two parties. In addition, services are inseparable from the production process and cannot be stored like inventory for use at a later date.
Despite their intangibility, business services are essential to the economy. They contribute to 11% of the EU GDP, and they are being increasingly used in combination with products to enhance their value and create new opportunities. This development is referred to as the ‘serviceification’ of products.
The growth of the business services industry is due to a number of factors, such as increasing globalization and technological advancements. However, the industry still faces challenges in terms of low average productivity and persisting barriers to cross-border trade. This is why the EU’s internal market legislation and policy actions aim at removing these barriers to stimulate competitiveness in this important sector.