Asked by Sarah Boktor on Jun 06, 2024
Verified
Service firms do not sell any products but generate revenues by offering one or more types of services.
Service Firms
Companies that provide intangible products, such as consulting, banking, and legal services, to their customers.
Generate Revenues
The process of bringing in money from sales of goods or services that a company offers to its customers.
- Recognize the differences between service firms, merchandising firms, and manufacturing firms in terms of revenue generation and operations.
Verified Answer
MS
Maria SequeiraJun 08, 2024
Final Answer :
True
Explanation :
Service firms offer services as their main source of revenue, not physical products.
Learning Objectives
- Recognize the differences between service firms, merchandising firms, and manufacturing firms in terms of revenue generation and operations.