Segment profitability of the US business service sector: Some reflections on theory and practice Available to Purchase

“Business” services are those services provided for business customers. As a group, this sector has been the largest single division of the US service sector, comprising 25‐30 per cent of services as defined by the Department of Commerce over the 1982 to 1992 decade. A least squares analysis of cross‐sectional information indicated relative market share and revenue per employee were statistically significant components of profitability in this sector. States that focus on these factors may lend direction to the management of services, especially at the strategic level.