Product Based and Service based Companies - Differences , Examples

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Product-Based and Service-Based Company 

What is a Product-based company?

They develop software products and sell them to many companies which may need the software and make profits for themselves

They are the sole owners of the product they develop and the code used and sell it to other companies which may need the software.

Product-based companies, on the other hand, create and sell tangible goods such as computers, smartphones, automobiles, and furniture. Examples of product-based companies include Apple, Samsung, Ford, and Ikea. These companies focus on designing, manufacturing, and selling physical products to their customers.

Example of Product-based Companies

Here some of the famous product-based companies are listed below.

Ex – Oracle, Microsoft

Top Product-Based Companies in India

Here the Top product-based companies in India are listed below.

• Flipkart
• Adobe
• Amazon
• Amdocs
• Facebook
• Microsoft
• HP
• Informatica
• Intel

What is a Service-based company?

A service-based company is one that provides customers, and clients with the ultimate solution to their requirements or a service to another company. 

Service-based companies offer intangible products such as consulting, advice, expertise, or other services that are performed for a customer. Examples of service-based companies include consulting firms, law firms, accounting firms, advertising agencies, and healthcare providers. These companies generally rely on the skills and expertise of their employees to deliver services to their clients.

Example of Service-based Companies

Here some of the famous product-based companies are listed below.

Ex – IBM, NTT Data, etc.

Top Service-based Companies in India

• TCS
• Infosys
• HCL
• Wipro
• Redington India Ltd
• Tech Mahindra Limited 
• Bharti Airtel
• Deloitte More items...

There are also companies that offer both products and services, such as software companies that sell products as well as offer support and consulting services. Additionally, some companies may start out as service-based but evolve into product-based companies as they develop and sell proprietary software or other products.

What is the difference Between Service based company and Product Based Company?