Differentiate between good producing and service businesses?

Question

please let me know the meaning of "good producing" n "service business" n the differentiate, pls explain the diffrentiate.

tq

Answer 1

Goods producing business - DUNKIN DONUTS produces coffee and donuts.

There is something tangible (that you can see, feel, touch, eat, or walk out of the store with it in your possession).

Service producing - Certified Public Accountants produce a service by giving advice, and sometimes doing a person's taxes.

Then there are combination businesses - for example

A service part of a car dealership - they provide cars - so that's when they are goods producing.

They provide service - when they inspect and service your car. They can suggest oil changes, or filter changes, or adjust the brakes, or the engine.

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GOD bless us always in all ways.

MBA-Boston Univ.

Accounting & Business Administration - B.A.

CPA-retired