Economic Sectors and Location » Tertiary Sector Employment

Introduction to Tertiary Sector Employment

The tertiary sector is the part of the economy that provides services rather than producing goods. It's sometimes called the service sector and includes everything from shops and restaurants to banks and hospitals. In developed countries like the UK, most people now work in tertiary jobs rather than in farming or manufacturing.

Key Definitions:

• Tertiary Sector: The part of the economy that provides services to consumers and businesses.
• Service Industries: Businesses that provide services rather than making physical products.
• Quaternary Sector: A sub-division of tertiary focusing on knowledge-based services like research and IT.
• Footloose Industries: Businesses that can locate anywhere because they're not tied to raw materials or markets.

Types of Tertiary Sector Employment

The tertiary sector includes a huge range of different jobs and services. Understanding these different types helps us see why they locate where they do and how they've grown over time.

Consumer Services

These are services that ordinary people use in their daily lives. They need to be located close to where people live and work because customers won't travel far for them.

🍽 Personal Services

Hairdressers, restaurants, cafes, dry cleaners and repair shops. These are found on every high street.

🏥 Professional Services

Doctors, dentists, lawyers and accountants. Often found in town centres or business districts.

🎬 Entertainment

Cinemas, theatres, sports centres and theme parks. Usually locate where lots of people can easily reach them.

Business Services

These services help other businesses operate effectively. They often cluster together in business districts because companies need to work closely with each other.

💻 Information Technology

Software companies, web designers and IT support. These are often footloose and can locate anywhere with good internet connections.

📊 Consultancy

Management consultants, marketing agencies and legal firms that advise other businesses. They cluster in major cities.

Factors Affecting Tertiary Sector Location

Unlike primary and secondary industries, tertiary businesses aren't tied to raw materials or heavy machinery. This gives them more choice about where to locate, but several factors still influence their decisions.

Market Access

Most service businesses need to be close to their customers. A corner shop needs local residents, whilst a major hospital serves a whole region. The size of the market area affects where services locate.

🏠 Local Services

Newsagents, post offices and GP surgeries serve small local areas. They're found in every neighbourhood and village.

🏢 Regional Services

Department stores, specialist hospitals and universities serve much larger areas. They locate in major towns and cities.

Transport and Accessibility

Good transport links are crucial for tertiary businesses. Customers and workers need to be able to reach them easily. This is why many services cluster around transport hubs.

🚌 Road Access

Out-of-town retail parks locate near motorway junctions for easy car access and parking.

🚉 Rail Links

Business districts cluster around major railway stations for commuter access.

✈ Air Travel

Hotels and conference centres locate near airports to serve business travellers.

Growth of Tertiary Employment

In developed countries, tertiary sector employment has grown dramatically over the past 50 years. This shift from manufacturing to services is called deindustrialisation and has major impacts on where people work and live.

Reasons for Tertiary Growth

Several factors explain why service jobs have become so important in countries like the UK.

💰 Rising Incomes

As people become wealthier, they spend more on services like holidays, restaurants and entertainment rather than just basic goods.

💻 Technology

New technologies create demand for IT services, whilst automation reduces manufacturing jobs but increases service employment.

Impact of Technology on Tertiary Services

Technology is changing how tertiary businesses operate and where they can locate. The internet has made many services footloose, whilst automation is changing the types of jobs available.

Digital Services

Many traditional services can now be delivered online, changing their location requirements completely.

💻 Online Retail

E-commerce has moved shopping from high streets to warehouses and distribution centres.

📱 Mobile Banking

Smartphone apps have reduced the need for bank branches in every town.

🎥 Streaming

Online entertainment has replaced many physical video stores and music shops.

Remote Working

Technology allows many service workers to work from home or anywhere with internet access. This has big implications for where businesses locate and how cities develop.

Challenges and Opportunities

The growth of tertiary employment brings both benefits and problems for different places and people.

Understanding tertiary sector employment is crucial for geography students because it helps explain modern economic patterns, urban development and how globalisation affects different places. The service sector will continue to grow and change, creating new opportunities and challenges for the future.