The Business Services Supersector

Business services

Business services are non-manufacturing services that help companies create value. They include services like information technology (IT), accounting, marketing and consulting. Outsourcing is also considered a business service because it enables companies to focus on core operations while leaving noncore activities to outside providers.

The Professional and Business Services supersector includes employment services, legal services, facility management and other similar types of services. These industries provide services to support other sectors of the economy and are critical to the European Union’s competitiveness in global markets. The sector employs 11% of the EU workforce and generates 11% of GDP.

This industry sector is often overlooked when considering growth opportunities, yet it has considerable untapped potential due to a number of barriers to competition. These barriers include relatively low average productivity, the presence of a wide range of legal barriers and persistent problems with cross-border trade. EU Internal Market legislation and policy actions are aimed at removing these barriers and stimulating growth in the sector.

A successful business model in the Services sector requires a high level of customer service and a focus on continuous improvement. These factors are vital to creating a great experience for customers and generating referrals. Other keys to success in this sector are leveraging technology, establishing a niche market and developing a consistent marketing plan.

Many business services are based on intangible elements, which can make it difficult to measure or quantify performance. Because of this, it is important for service businesses to identify and understand their key performance indicators (KPIs). These should cover the areas of customer satisfaction, cost and quality. Having a well-defined KPI system is also important to managing risk and ensuring that the business is operating within its parameters.

As more consumers become concerned about the environment, they are seeking sustainable business services such as eco-friendly cleaning and green energy consulting. They are also demanding more personalized services that can meet their specific needs, such as virtual bookkeeping and telemedicine. Consumers are also looking for services that can come to them, such as mobile car detailing and beauty services.

In addition, business services are increasingly being combined with other products to produce added value. This trend is known as “servitization” and it has the potential to transform the economy. It will increase the efficiency of manufacturing processes and enable new combinations of goods and services to be delivered. It will also improve the quality of life for employees by enabling them to access more and better services in their workplaces.

Business services are a large part of the economy and are growing in importance. They are not only essential to the European Union’s competitiveness in the global marketplace, but they also play an important role in transforming other industries through new combinations of goods and services. As a result, it is critical that the EU continues to develop policies that encourage innovation and development in this sector. This will help ensure that the Services sector continues to be a key driver of economic growth in Europe.