Business Services
According to the book, business which provides services to its customers account to almost half of the American economy. Those who cannot find jobs in the manufacturing sector may find a job in the service sector. What is the service sector? The service sectors are businesses that provide service in forms of intangible products. Examples of those are professional services (legal, accounting, management, engineering), recreation services (bowling alleys, golf courses, amusement parks), education (universities, libraries) and others.
Changes in the demography of the country and the consistent increase of population will have considerable impact on the service sector. Demand for services will surely rise. We have a culturally diverse economy and the trends shows that minority groups will increase in number as time goes by. Services which cater to specific minority groups will definitely have a chance at success.
On a local scale, Contra Costa’s service sector is growing and more jobs are being created. According to the CA Employment Development Department (Industry Trends and Outlook 1999-2006), the service sector is the fastest and the largest growing industry in Contra Costa. Growth rates of 26% will have a significant impact on creating new jobs and will drive the local economy. Among those industries, computer-related companies will be the fastest growing (hi-tech companies from Santa Clara, San Mateo and San Francisco counties has been moving to Contra Costa because of lower rents, new housing and a highly educated labor force),second will be employment agencies, next will be the security-related businesses. Health, construction, advertising, building maintenance, equipment rental, and credit and collection agencies will increase overall.
Five service businesses I chose:
1. Prudential Real Estate Offices in Contra Costa – Mortgage rates are its lowest in a number of decades and is a major factor in driving the demand for housing in the county. It means good business for real estate companies. They also provide mortgage service to its home buyers so that’s hitting two birds with one stone. They are also using the internet to complement their service. Home buyers will find it easier to browse homes through Prudential’s website; they can sort it out by price range, square feet, no. of rooms, etc. For job-hunters, they offer a free training incentive for those who are interested in being a real estate agent or broker, and they are helping to create jobs. Real estate prices in the county are high compared to other areas, demand for homes is still rising. As two-income families are on the rise, these homes will be more affordable to them. It is very difficult for a one –income family to afford a house here in the Bay Area.
2. Sunrise Assisted Living – As the aging population grows, services that provide health care assistance to the elderly will surely be in demand. Sunrise Assisted Living offers different choices to its customers. They offer assisted independent living communities which provide senior citizens with their own apartments, social and cultural activities, exercise programs, [next page]