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Tertiary and quaternary services

  • Tertiary activities are related to service sector.
  • Manpower is important component of service sector.
  • Tertiary service is performed by skilled labor, trained experts and consultants. 
  • tertiary service involve both :
    Exchange and;  Production

  • The
    involves "provision" of services that consumed. Output measured in terms of wages and salaries.
  • Exchange. Involves trade, transport and communication facilities.
  • Tertiary activity, involve the commercial output of services.
  • Difference from secondary activities: mode of expertise. service sector vs  manufacturing sector
  • types of tertiary activities:


  1.  Trade and commerce:  trade is essentially buying and selling of items .for profit. Done at trading places.  Trading places may divide into: rural and urban marketing places.
    A rural marketing place caters to nearby settlements.
    Periodic market is found where no regular market is available.
    Urban market place is more advanced. 
  2. Retail Trading services: :   retailing 
  3. wholesale : bulk trading 

    Consumer cooperatives were the first of the large scale innovation in retailing.
    Departmental store delegate the responsibility and authority to departmental heads for purchasing of commodities and for overseeing the sale in different sections of the stores.
    Chain stores are able to purchase merchandise most economically, often going so far as to direct the goods to be manufactured to their specification. They employ highly skilled specialist in many executive tasks. They have ability to experiment in one store and apply the results to many.


    transport is a service or facility by which persons, manufactured goods and property are physically carried from one location to another.
  • It is an organized industry created to satisfy

Man's basic need of mobility.

Modern society requires speedy and efficient transport systems to assist in the production, distribution and consumption of goods

Transport distance can be measured as:

km distance or actual distance of route length;
time distance or the time taken to travel
cost distance or the expense of travelling on a route

Isochrone lines are drawn on a map to joins places equal in

Terms of the time taken to reach them.

Factors Affecting Transport Services:
for transport is influenced by the size of population.

Routes depend on:


  • location of cities, towns, villages, industrial centers and raw materials
  • pattern of trade between them
  • nature of the landscape between them
  • type of climate
  • Funds available for overcoming obstacles
    along the length of the route.

Communication services involve the transmission of words and messages, facts and ideas.

The use of telecommunications is linked to the development of electrical technology
Radio and television also help to relay news, pictures, and telephone calls to vast audiences around the world and hence they are termed as mass media
are able to cover events in all corners of the world.
The internet has truly revolutionized the global communication


Services occur at many different levels. Some are geared to industry, some to people; and some to both industry and people
Many services have now been regulated

Informal/Non-Formal Sector
Personal services are made available to the people to facilitate their work in daily life. The workers migrate from rural areas in search of employment and are unskilled


In more Developed countries a higher percentage of workers is employed in provision of services
Some Selected Examples
Tourist Regions:
The warmer places around the Mediterranean
Coast and the West Coast of India are some of the popular tourist destinations in the world
Factors Affecting Tourism
Demand :
Transport :
The opening-up of tourist areas has been aided by improvement in transport facilities.

Tourist Attractions

History and Art
Culture and Economy

Empowered Workers: Entrepreneurs are the empowered workers o the quaternary sector and the slowly emerging quinrary sector


All these people work in a segment of the service sector that is knowledge oriented. This sector can be divided into quaternary and quinrary activities

quaternary and quinrary activities. Quaternary activities involve some of the following: the collection, production and dissemination of information or even the production of information. Quaternary activities center around research, development and may be seen as an advanced form of services involving specialized knowledge, technical skills, and administrative competence


The highest level of decision makers or policy makers perform quinrary activities. These are subtly different from the knowledge based industries that the quinrary sector in general deals with.

Outsourcing has resulted in the opening up of a large number of call centers in India, China, Eastern Europe, Israel, Philippines and Costa Rica.

      New trends in quaternary services include knowledge processing outsourcing (KPO) and 'home shoring',

Examples of KPOs include research and development (R and D) activities, e-learning, business research, intellectual property (IP) research, legal profession and the banking sector.
India has emerged as the leading country of medical tourism in the world


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