What are the similarities between trade and industry
What are services?
Differences and similarities
Services, trade, craft and industry, where is the line between these economic areas and how can the differences be defined?
The processing of raw materials is not limited to industry, nor is the manufacture of products. A basket maker also processes raw materials in order to manufacture a product from these raw materials, only by hand and not in industrial series production. Nor can a basket maker be strictly separated from the trade, as he will certainly be selling his products for sale. In contrast to wholesalers and retailers, the basket maker will more or less only offer his handcrafted products and not order any products that are only intended for sale in large numbers.
The differences and similarities between industry, craft and trade still seem relatively easy. Not surprisingly, in the last few centuries, medieval handicraft businesses were replaced by factories in many areas, and the factories in the following years were in turn replaced by industrially run factories. In all areas in which industrialization promised little success, the handicraft survived, and with or alongside the handicraft, smaller and larger manufactories survived.
How can services be classified?
In the case of services, the focus is not on the manufacture of a product or the trade in products, but rather on the provision of a service as a service to the customer or as a service for customers. A service provider will often have to use appropriate work equipment and products, such as hand tools, measuring devices, cleaning agents or lubricants, but it will (usually) no new product manufactured.
Usually in brackets, because the delimitation is not always as simple as it is for typical services that are provided by service companies. Typical services provided by service providers would be care, maintenance or repair work. But between construction companies and construction service providers these lines of classification are blurred, since the end result is not an intangible good, but a newly constructed structure. At least insofar as the construction services were not only related to maintenance or repair work.
In addition to the typical services already listed, we make use of other services in the course of our lives without really realizing that these are services. For example, the services of a doctor are classified in the broadest sense as a form of customer service. We can be obliged to use these services for other services. The latter include disposal services.
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