A form of business that transforms resources into an intangible output and creates time or place utility for its customers is called a(n)
A) manufacturing organization.
B) biotechnology firm.
C) information technology firm.
D) service organization.
E) hybrid organization.

Question

Quizplus · Accepted Answer

A service organization transforms resources (such as human capital, expertise, and time) into intangible output (such as knowledge, advice, and experiences) and provides time or place utility for its customers (such as convenience, accessibility, or speed). Biotechnology and information technology firms may also provide intangible output, but they focus on different types of resources and outputs. Manufacturing organizations transform tangible resources (such as raw materials, components, and parts) into physical products, while hybrid organizations combine multiple types of resources and outputs.

A Form of Business That Transforms Resources into an Intangible