Introduction: Are Services Special?

Abstract

This chapter examines various perceptions of services and their roles in the economy, and considers some of the key relationships between services and innovation processes, between the service economy and the knowledge-based economy. In the 1960s and 1970s a new, and classic, account of the rise of the services sector emerged and became very popular. De-industrialization arguments are often little more than a reassertion of the view that only the production of tangible goods constitutes productive work. The convergence of the great sectors is an important phenomenon, reflecting both technological trends and the opportunities they provide, and the strategies of companies facing new market challenges. The discussion of ‘peculiar features’ of services has suggested that there are indeed characteristics of many services that affect the innovation processes in service sectors. The chapter also presents an overview of the key concepts discussed in this book.

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