Third sector

What is the tertiary sector?

The tertiary sector is the economic sector that is responsible for providing the necessary services to the population.

Although it is not related to the production of material goods, this sector it satisfies the different needs that people have and helps to classify activities that are not material.

Among the activities that make up the tertiary sector are: communications, transport, finance, hotels, tourism, leisure and entertainment.

Characteristics of the tertiary sector

The main characteristics of the tertiary sector are the following:

• It is responsible for increasing productivity, business growth and human capital through education, health, technology development, among others.
• By increasing the gross domestic product, pallows the evolution of production and competition between the companies involved, which causes the economy to grow.
• It is heterogeneous, since there is a wide variety of services related to this.
• Your activities are immaterial and therefore its production cannot be stored, but rather is close to consumers.
• Work with a low use of machinery.

Importance of the tertiary sector

The tertiary sector is important because constitutes a great source of employment in society, which greatly benefits the economy of a country.

What's more, allows organizing, directing and controlling those activities that are carried out in the daily life of the population. Therefore, it is very present in people's lives, for example when traveling in the city, traveling, shopping, watching television, etc.

Examples from the tertiary sector

Here are some examples of the tertiary sector:

• Telephone and internet services.
• The administration of organizations and companies.
• Insurers.
• Cable television services.
• Real estate agents.
• Banking institutions.
• Private security services.