Every industry faces some kind of challenges which are unique.

Following are some difficulties FACED by the service industry:

• Difficulty in setting price: Before deciding the price of the service, you need to understand your cost for the services provided, which is difficult. So, setting the prices becomes very difficult TASK for this industry.
• Lack of passion among the staff - In ORDER to generate more revenue, you need to keep your staff passionate about the services they provide. Lack of passion leads to failure.
• Testing new service - As services are intangible, testing the new services and improving quality is a major challenge. Also, letting the people know about these new services at times becomes difficult.
• Standardization is difficult - The service provided by the same person may not be the same always. So it becomes very difficult to standardize the service with the involvement of human beings.
• Uncertainty - The buyers are uncertain about the quality of service as services are intangible. They can't experience a service before buying it.
• DEMAND and supply - As demand increases, the supply of products can also be increased. But this cannot be done in the service industry as you cannot STORE services in anticipation of an increase in demand.
• Patent rights - In order to protect your product from being used by your competitor you get them legal protection. This is not possible for services.
• Trust factor - Trust and faith play a major role in the service industry. At times it becomes difficult to build trust with the clients.

Every industry faces some kind of challenges which are unique.

Following are some difficulties faced by the service industry: