Classification of services. Its meaning and principles

In the general sense of the word, a service is an activity or action that one person (both legal and physical) is doing in the interests of the other. In economic theory, this term refers to the type of goods (not necessarily material) that can be simultaneously consumed, transferred and produced.

To better understand this phenomenon, to identify the subtleties of management in this or that sphere and keep records, a classification of services was created. It is produced in many ways: by groups, types, prices, quality and others.

Classification of services helps to distinguish, for example, one type of service differs from the other, what is its specificity. There are special features in every sphere: in banking, consulting, advertising, legal, etc. On this basis, according to the branches, there are five types of services rendered to the population:

1. Distributive. These are communication, trade and transport services.

2. Production. This includes engineering, leasing and services related to the repair of various equipment.

3. Mass (they are also called consumer). These are services related to different aspects of the household, spending free time.

4. Professional. This is the services of consultants, financiers, insurance companies, bankers.

5. Public. These are services related to education, culture, and the media.

In addition, there is a classification of services for the direction of action on the object and their tangibility. It is the basis for non-material production. So, on this principle distinguish:

1) Actions are tangible. They are directed directly at the human body. This is the services of passenger transport, sports facilities, health, beauty salons, catering, hairdressers, etc.

2) Actions are also tangible, but aimed at goods and various physical objects. It is the repair of all kinds of equipment and its maintenance, the services of veterinarians, security guards, freight transport, etc.

3) Actions are intangible. They are aimed at the human consciousness. This is primarily the media, cinema, theaters, museums, education.

4) Actions are intangible and involve the same invisible assets. These include the services of lawyers, insurance companies, consultants, banks, as well as transactions conducted with securities.

The current international classification of services is based on the one that was developed as far back as 1935. And only after more than twenty years it was officially adopted. For several decades, twice revised and finally approved in 1979. The countries that took part in the signing of the Nice Agreement took the obligation to use this classification by registering trademarks and to indicate in official documents the class numbers.

To study the supply and demand, improve and develop in the service industry, a service classifier was created. It is included in the Unified System of Coding of Social, Economic and Technical Information and is constantly being compared with existing international standards and norms.