Differences between Goods and Services

The essential differences between goods and services are few, but most important of them to know. The first is that a service is an intangible process that cannot be weighed or measured, whereas a good is the tangible product of a process and has physical dimensions. Below is main difference between goods and services, you need to remember as business student.

Differences between Goods and Services

The difference has very important implications for the company, because an innovation in services, unlike an innovation in a product, cannot be patented. Therefore, the company that has a new concept must be expanded quickly before competitors copy their procedures. The intangibility of services is also a problem for customers because, unlike a material product, they cannot prove it before the purchase.

Disadvantages of Private Limited Company

The second is that a service requires some measure of interaction with the customer to be a service. The interaction may be brief, but it must exist for the service to take place. Where a face-to-face service is required, the service facility must be designed so that it can be dealt with by the customer. On the other hand, the goods are usually produced in premises where the customer does not enter. They can be manufactured according to a production program that is efficient for the company.

The third is that services, with the great exception of hard technologies such as ATMs and information technology, Such as answering machines and automated Internet exchanges, are inherently heterogeneous, that is, they vary from day to day, or perhaps from hour to hour, depending on the attitudes of the client and the servers.

Therefore, even in the case of jobs very subject to a script, as in the call centers, those can have unpredictable results. On the other hand, goods can be produced in such a way that they are subjected to very strict specifications, day after day, with a practically null variation. In the event of a defective product, it may be repaired or disposed of.

The fourth is that services, taken as a process, are perishable and dependent on time and, unlike goods, Cannot be stored. In the case of an airplane flight or a day on campus it is impossible to “make a return from last week”.

Fifth, the specifications of a service are defined and evaluated in the form of a package of characteristics that affect the five senses. These are:

1. A support installation (location, decoration, distribution, architectural suitability, support equipment).

2. Goods that facilitate things (variety, consistency, quantity of material goods that the service entails, for example, foods that go hand in hand with a restaurant service). In the case of an airplane flight or a day on campus it is impossible to “make a return from last week”. Fifth, the specifications of a service are defined and evaluated in the form of a package of characteristics that affect the five senses. These are:

3. A support installation (location, decoration, distribution, architectural suitability, support equipment).

4. Goods that facilitate things (variety, consistency, quantity of material goods that the service entails, for example, foods that go hand in hand with a restaurant service). In the case of an airplane flight or a day on campus it is impossible to “make a return from last week”. Fifth, the specifications of a service are defined and evaluated in the form of a package of characteristics that affect the five senses. These are:

5. A support installation (location, decoration, distribution, architectural suitability, support equipment).

6. Goods that facilitate things (variety, consistency, quantity of material goods that the service entails, for example, foods that go hand in hand with a restaurant service). The specifications of a service are defined and evaluated in the form of a package of characteristics that affect the five senses. These are:

7. A support installation (location, decoration, distribution, architectural suitability, support equipment).

8. Goods that facilitate things (variety, consistency, quantity of material goods that the service entails, for example, foods that go hand in hand with a restaurant service). The specifications of a service are defined and evaluated in the form of a package of characteristics that affect the five senses. These are:

9. A support installation (location, decoration, distribution, architectural suitability, support equipment).

10. Goods that facilitate things (variety, consistency, quantity of material goods that the service entails, for example, foods that go hand in hand with a restaurant service).