Competitive Business Environment Essay Example | Topics and Well Written Essays - 2000 words

Competitive Business Environment - Essay Example Developed countries realized that emerging nations such as China had completely taken over light manufacturing operation and the best course of action is to import or outsource manufacturing to economies such as China to be able to compete (CultureGrams, 2007). In the agricultural sector, new technologies such as generic engineering have changed the way farmers operate and has introduced new products such as organic products into the marketplace. The economies of developed countries have moved from a manual to a knowledge economy in which the service industry is the backbone that creates job opportunities for the citizens of such a nation. A new tendency which is affecting the way organization the business environment and the service function within firm related to customer service and vendor relationship is being handled by companies in the 21st century. This essay discusses the change that has taken place in the way services are being rendered by enterprises in today and the tenden cies that will manifest themselves in the future. Customer service is an important function that adds value to the business. Companies realize that the service a firm provides to its customers is a critical success factor that allows customer retention and provides an edge in a competitive business environment. Service is an intrinsic variable that provides added value to a product that makes the goods offered by a particular company more attractive that than similar items sold by a competitor (Hadi, 1999). For example, a customer knows that the software items offered by Microsoft Corporation include an outstanding long-term implied service in form of updates, improvements, assistance from the company to the client that purchases their product. A small software firm may not have the capability to offer a high level of service, thus they are not able to compete at the same level with firms that provide superior service value in for their products.