1. Do you think manufacturing companies can afford not to offer any services? Why? Why not? Do you see differences in this respect in relation to the type of industry?

2. Do you think the reverse also holds true, i.e. should service companies start thinking about offering products as well? Why? Why not? Can you come up with examples?

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Product companies often try to differentiate themselves by offering services. Many struggle to make money at it.25 This phenomenon is called the ‘Service Paradox’.

Why is it so difficult to make money in the service business?

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