Unlike products, which are tangible goods that have an identifiable physical form, business services are activities and actions that help companies without producing a product. They include various facets of the industry such as marketing, production, safety, cost and convenience and cover a significant portion of the commercial world.
Technology has been a driving force in the development of business services in recent years and continues to impact them positively. The use of cloud infrastructure platforms, software systems and telecommunications enables firms to deliver their business services through these platforms in a way that is flexible, scalable and efficient. In addition, the use of outsourcing has grown with the covid-19 pandemic and businesses are seeking new ways to manage business services through these channels.
While some businesses may provide these services themselves, most choose to use external providers to meet their needs and requirements. This allows them to focus on their core competencies and improve performance within their own areas of expertise. Shared service models are also increasingly used as businesses seek to reduce costs and improve service delivery through centralization and standardization of processes.
Examples of common business services include pest control, office cleaning and maintenance, computer support and training. Some of these services are offered by large, well-established companies and others are provided by smaller, specialized enterprises. In the latter case, these business services are often a core part of their product offerings. They help to ensure the quality of their goods and to maintain a competitive edge over their competitors.