Consumer Preference
SERVICE SECTOR IN INDIA: GROWTH AND PROSPECTS
ABSTRACT
The service sector consists of the "soft" parts of the economy, i.e. activities where people offer their knowledge and time to improve productivity, performance, potential, and sustainability. This paper mainly focuses on contribution of service sector to the economy, its performance, problems, growth and challenges. The paper also comes out with the latest GDP detail regarding service sector.
Introduction:
The Services Sector constitutes a large part of the Indian economy both in terms of employment potential and its contribution to national income. The services sector covers a wide range of activities from the most sophisticated information technology (IT) to simple services provided by the unorganized sector, such as the services of the barber, vegetable sellers, hawkers, rickshaw pullers and plumber. National Accounts classification of the services sector incorporates trade, hotels, and restaurants, transport, storage, and communication, financing, insurance, real estate, and business services and community, social, and personal services. In World Trade Organization (WTO) and Reserve Bank of India (RBI) classifications, construction is also included. Based on the National Income classification given by Central Statistical Organization, Service sector in India can broadly be classified into:
1. Trade, hotels and restaurants (THR)
1.1 Trade
1.2 Hotels and restaurants
2. Transport, storage and communication
2.1 Railways
2.2 Transport by other means
2.3 Storage
2.4 Communication
3. Financing, Insurance, Real Estate and Business Services
3.1 Banking and Insurance
3.2 Real Estate, Ownership of Dwellings and Business Services
4. Community, Social and Personal services
4.1 Public Administration and Defense (PA & D)
4.2 Other services
The share of service sector in country’s Gross Domestic Product (GDP) has risen from 50.4 percent in 2000-01 to 59.0% in 2011-12.
ABSTRACT
The service sector consists of the "soft" parts of the economy, i.e. activities where people offer their knowledge and time to improve productivity, performance, potential, and sustainability. This paper mainly focuses on contribution of service sector to the economy, its performance, problems, growth and challenges. The paper also comes out with the latest GDP detail regarding service sector.
Introduction:
The Services Sector constitutes a large part of the Indian economy both in terms of employment potential and its contribution to national income. The services sector covers a wide range of activities from the most sophisticated information technology (IT) to simple services provided by the unorganized sector, such as the services of the barber, vegetable sellers, hawkers, rickshaw pullers and plumber. National Accounts classification of the services sector incorporates trade, hotels, and restaurants, transport, storage, and communication, financing, insurance, real estate, and business services and community, social, and personal services. In World Trade Organization (WTO) and Reserve Bank of India (RBI) classifications, construction is also included. Based on the National Income classification given by Central Statistical Organization, Service sector in India can broadly be classified into:
1. Trade, hotels and restaurants (THR)
1.1 Trade
1.2 Hotels and restaurants
2. Transport, storage and communication
2.1 Railways
2.2 Transport by other means
2.3 Storage
2.4 Communication
3. Financing, Insurance, Real Estate and Business Services
3.1 Banking and Insurance
3.2 Real Estate, Ownership of Dwellings and Business Services
4. Community, Social and Personal services
4.1 Public Administration and Defense (PA & D)
4.2 Other services
The share of service sector in country’s Gross Domestic Product (GDP) has risen from 50.4 percent in 2000-01 to 59.0% in 2011-12.