Definition
A service firm provides intangible services to customers, unlike a manufacturing firm that produces physical goods. These services can range from consulting and accounting to legal advice and healthcare. The focus is on expertise, skills, and knowledge rather than tangible products. Think of a law office, a marketing agency, or a tutoring center. Service firms often rely on highly skilled professionals. It's all about delivering value through expertise and personal interaction. They solve problems, offer advice, and provide support.