Thursday 19 November 2015

Step 1 Choose a company that provides services to end users. This can be from the automotive industry (the service side), personal care, theatre,...

The goods-services continuum is the range of goods and services that a company provides to consumers. For example, you might choose an automotive repair shop or a related business for step 1. This type of company provides car repair work and car maintenance to consumers. These are services. In addition, this type of business provides goods to consumers in the form of car parts that are necessary to fix cars. This type of business bills both for its services (usually priced on an hourly basis) and its goods (the cost of the parts). Therefore, this type of business is somewhere on the middle of the goods/services continuum, as it provides both goods and services. Another type of business you might consider in step 1 is a hair salon. This type of business provides mainly services (hair cuts, hair styling, hair coloring, etc.), but it could also provide goods in the form of shampoos, conditioners, gels, and so on. Therefore, this type of business is more skewed towards services on the goods/services continuum. 

In step 2, you can consider different types of business-to-business firms. For example, law firms only provide services to companies, such as tax consultation or employment-related legal consultations. Law firms do not provide goods to companies. You can consider the types of services that you would like a business-to-business firm to offer to consumers. 


The companies in step 1 provide both goods and services to consumers, while many (but not all) business-to-business companies such as law firms or accountants (who work with businesses) provide only services. The market for business-to-business services is more specialized, and though there are fewer potential customers for these types of services, these types of business-to-business firms often charge more than businesses that offer services directly to consumers. The service continuum goes from a company that sells only goods on one side of the continuum (such as, for example, a company that makes toys) to companies that only offer services (such as legal advice) on the service side of the continuum. Companies in the middle of the continuum offer both goods and services to different degrees.

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