THE TERTIARY SECTOR

THE TERTIARY SECTOR

WHAT IS TERTIARY SECTOR?

• It includes the service industry.
• It provides services to both businesses and final consumers.
• It works as whole sale and retail.
• Eg. transportation, distribution, and sale of commodities.

WHAT ARE TYPES OF TERTIARY ACTIVITIES?

• Trade
• Hotels and Restaurants
• Transport and Communication
• Financial services
• Real Estate
• Administration

WHAT ARE ITS CHARACTERISTICS?

• These are performed by skilled labour, professionally trained experts, and consultants.
• In a developed economy, the majority of workers are employed in the tertiary sector.
• It involves the commercial output of services.
• The expertise provided by the specialised skills, experience and knowledge of the workers.

ADVANTAGES

• It has a lower barrier to start this business.
• It can provide faster and more flexible adjustment during crisis.
• It reduces environmental damage.
• It allows more economic development.
• More customer satisfaction.

DISADVANTAGES

• More dependent on other countries for goods.
• Increased imports and decreased exports.
• Loss of manufacturing jobs due to outsourcing.
• Skilled workers required.