Analyse the disadvantages of specialization for services sector business. [6]

Ch 1 Business activity

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khuram khan
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Re: Analyse the disadvantages of specialization for services sector business. [6]

Post by khuram khan »

[KN]limits flexibility
{AN} The firm having specialized labor will only provide the services that they are best at and no other
{AN+} Due to this if there is anyone absent no one can replace the absentee due to such uniqueness
{KN} vulnerable to market changes
{AN} due to specialization if there is a change in customer tastes or fashion the business won't be able to cope and hence fail
{AN+} a specialized service business, that gave DVD rental was set out of business due to its inability to respond to such changes
khadija nasir
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Re: Analyse the disadvantages of specialization for services sector business. [6]

Post by khadija nasir »

[kn] difficulty with gaining the attention of clients
[an] decreased effort may reduce focus of customers making them reluctant to stay loyal
[an+] brand image disrupted

[kn] delay in provision of service
[an] an absence of one worker causes a delay in providing services to the consumer
[an+] time wasted and businesses efficiency reduced
Abbas17
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Re: Analyse the disadvantages of specialization for services sector business. [6]

Post by Abbas17 »

(KN)Skilled labor will be costly
(AN) as due to specialization, workers need to be skilled to do a job their good at,
(AN+) hence this would mean that business would need to pay a higher cost for employing skilled labor.

(KN) Workers can only do specific jobs
(AN) due to specialization as workers can focus on what their good at, usually they can't to more jobs then one specifically for them,
(AN+) hence meaning that the business would have to face the blunt of this and take on more workers as workers won't be able to do jobs efficiently in what they don't specialize in.
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