Explain the ways in which competition in the service sector is different from competition in the manufacturing
Explain the ways in which competition in the service sector is different from competition in the manufacturing sector. How is it the same?
In manufacturing the bigger the better. You can produce products more cheaply the bigger the size of your operation. In services size is much less important.
In manufacturing you are selling a product that can be inspected, compared, & tested before it is bought. In services you are selling the "invisible" — there is nothing you can really inspect, compare & test before you buy. Thus marketing and sales messages are much more important in services.
In manufacturing the bigger the better. You can produce products more cheaply the bigger the size of your operation. In services size is much less important.
In manufacturing you are selling a product that can be inspected, compared, & tested before it is bought. In services you are selling the "invisible" — there is nothing you can really inspect, compare & test before you buy. Thus marketing and sales messages are much more important in services.
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