The main difference between goods and services is that goods are physical, tangible items that can be seen, touched, and stored whereas services are intangible actions or performances provided by individuals or businesses to fulfill a specific need or desire.
Before we move to more differences, let’s first understand Goods and Services:
- Goods: Goods refer to physical objects or products that are manufactured, produced, or extracted for sale or consumption.
- Services: Services are non-physical activities or tasks performed by individuals or businesses to meet the demands of consumers.
Now, let’s get to Goods vs Services:
Major differences between Goods and Services
|Goods are typically produced, manufactured, or extracted.||Services are performed or delivered by individuals or businesses.|
|Goods can be stored and inventoried before being sold.||Services are usually consumed or experienced immediately upon delivery.|
|Goods are often standardized and can be mass-produced.||Services are often customized or tailored to meet individual needs or preferences.|
|Goods can be bought, sold, and exchanged between parties.||Services involve interactions or engagements between service providers and consumers.|
|Goods can be resold or used repeatedly by different individuals.||Services are usually consumed and experienced once by the customer.|
So, these are the main differences between the entities.
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