Question

What are the key differences between product- and service-based businesses?
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Answer 1

Answer:

The distinction between the two is that the product business sells a physical, tangible product, while the service business owner sells his skills as the primary product

Answer 2

Small-business owners are faced with many challenges, such as planning sales and marketing strategies for their companies. Your business plan will vary depending on your type of business, but one main difference to take into account is whether your business is product-based or service-based. As the names imply, a product-based business sells actual physical things, such as clothing or boxes, while a service-based business sells a service that consumers need, such as plumbing or consulting.