Tertiary Industry

The tertiary industry involves providing services and facilitating a smooth flow of goods and services in the market. The tertiary industry is also known as the service industry, and it helps the primary and secondary industries with their activities. It means that the tertiary industry provides services to different primary and secondary industries to support their activities. 

Different types of services provided by the service industry are:

1. Transport: Transportation services help the primary and secondary industries by facilitating the movement of goods from one place to other. Different modes of transport used by tertiary industry are air, water, land, rail, etc. 
2. Banking: Through banking, the tertiary industry provides credit facilities and finance to different trading firms and industries for business expansion, survival and growth. 
3. Warehousing: Warehousing services of the tertiary industry provides the primary and secondary industry with storage facilities. It means that the primary and secondary industries can store their produced goods until they are distributed. 
4. Insurance: Insurance services of the tertiary industry involve providing coverage to the primary and secondary industries with different types of risks while running the business. 
5. Advertising: Advertising services help the primary and secondary industries by providing information to the customers about the company or business and its goods and services. 

The industry is concerned with the processing and production of goods and services with the motive of earning profit. In simple words, it involves changing the raw materials into finished products for the purpose of selling them to the customers. The goods sold by industry can be either used by other companies for further production or can be used by the end consumers for final consumption. The goods produced in the former case are known as producer goods. For example, machinery, tools, etc. However, the goods produced in the latter case are known as consumer goods. For example, bread, milk, butter, cloth, groceries, medicines, etc. An organization can also produce materials that can be used by other companies to further process and convert them into finished goods. These goods are known as intermediate goods. For example, rubber, copper, plastic, etc. Industry can be further classified into three parts: primary, secondary, and tertiary industry.