Goods and Services and the Role of Technology

Goods and Services and the Role of Technology

The purpose of this essay is to describe the differences between goods and services by identifying the major characteristics of each. The role of technology with respect to customer service will be discussed, outlining how improvement in the technological industry is flowing through as innovations that improve customer service. Conclusions and assumptions will be drawn based on research performed while crafting this paper. Answers to how customer service is changing and what the data suggests is driving this success will be explored.
Characteristics of Services
The definition of a service is an intangible economic activity which is consumed at the point of sale. A service cannot be stored and cannot exhibit signs of ownership (Service, 2014). A service is something that cannot be physically realized by any of the senses. Being heterogeneous, a service also cannot be separated from the provider and is produced and consumed simultaneously (Differences Between Goods and Services, 2009). Services have varying levels of interaction and involvement ranging from simple input commands on an ATM machine to making complex selections about which meat to choose on the submarine sandwich being made to order (Bhasin, n.d.).
Characteristics of Goods The definition of consumer goods illustrates products that are purchased for consumption by the average consumer. Consumer goods are the final result of production and manufacturing yielding a product that can be consumed or stored for future use (Consumer Goods, 2014). Goods are considered homogeneous meaning that once produced; the quality is consistent across all line of products (Differences Between Goods and Services, 2009). Goods have a shelf life and can be consumed at the point of sale or at any future date (Differences Between Goods and Services, 2009). Goods are