Understanding the Tertiary Sector: Services, Trade, Tourism, and Transportation

Posted on Nov 22, 2024 in Geography

Tertiary Sector Activities

The tertiary sector encompasses activities providing services to society, including transportation, communications, commerce, tourism, health, and education.

Types of Services and Major Subsectors

Types:

  • Private Market Services: Provided by private companies aiming for economic profit.
  • Non-Market Public Services: Provided by the state or government, funded by taxes.

Subsectors:

  • Services to Business: Banking, insurance, legal, management.
  • Distribution Services: Transport, communications, mail, and trade.
  • Social Services: Health, education, public administration.
  • Consumer Services: Services directly for individual consumers.

Transportation

Road Transport is used for short and medium-distance passenger and goods transport.

  • Advantages: Direct access, time flexibility.
  • Drawbacks: Limited capacity, pollution.

Trade and Commerce involve the combination of different transport modes for freight or passengers.

Transport Networks form networks connecting origins and destinations.

  • Regional Level: Network paths depend on geographic conditions, state decisions, and economic development.
  • Global Level: Rich countries have dense networks connecting major cities worldwide.

Trade

Trade is the exchange of goods and services for payment (barter, money, credit cards, checks).

Internal Trade

  • Wholesale Trade: Purchase of large quantities for resale to retailers and companies.

Foreign Trade

Foreign Trade is the international exchange of goods and services (imports and exports), recorded in the balance of payments.

Characteristics of Trade:

  • Global reach and steady growth.
  • Trading blocs eliminate customs duties among member countries.
  • Trade relations models:
    • Protection: Border taxes to protect domestic products.
    • Free Trade: No tariffs.
    • Mixed: Tariffs within trading blocs only.
  • International organizations facilitate trade.
  • Continuous growth in the volume of traded goods.

Tourism

Tourism is the temporary movement of people (over 24 hours) for recreational purposes.

Causes of Tourism:

  • High standard of living.
  • Improved and cheaper transportation.
  • Growth and improvement of tourism infrastructure (hotels, restaurants).
  • Performance of tourism businesses (travel agencies, tour operators).

Types of Tourism:

  • Coastal Tourism: Sun and beach tourism in temperate and warm coastal areas.
  • Mountaineering Tourism: Based on scenic values, skiing, hiking, and adventure sports.
  • Rural Tourism: Contact with traditional agriculture, ecosystems, agromuseums, hunting, and quiet rest.
  • Urban Tourism: Cultural tourism (historical, artistic, or cultural visits), business tourism (conferences, conventions), and religious tourism.

Tourist Areas:

  • Europe and the U.S.: Main global tourism destinations.
  • Eastern Europe: Emerging destinations with cultural and monumental value.
  • Developing Countries: Tourism hampered by inadequate transport, infrastructure, insecurity, and political instability.

Consequences of Tourism:

  • Population: Attracts workers, may cause congestion.
  • Economic: Creates jobs, income, stimulates other activities, but jobs can be precarious and prices may rise.
  • Social: Lifestyle changes, modernization.
  • Environmental: Requires good environmental conditions; pollution can be an issue.

Services: Growth, Types, and Locations

Causes of Service Sector Growth:

  • Increased standard of living.
  • Generalization of the welfare state.
  • Increased demand for services from other economic activities.
  • Autonomy and income of the European Union.

Types of Services:

Predominant types include business services, public administration, transport, communications, health, and education.

Location of Services:

Varied; advanced services are concentrated in economically developed areas.

Transportation Networks in Spain

Transport networks in Spain follow a radial pattern centered on Madrid, with roads, railways, and airlines extending to the periphery. The radial network is complemented by cross-cutting routes, such as along the Mediterranean coast, the Ebro Valley, and the Cantabrian coast.