While for the most part of human history, the commodity and goods market have been predominant, with goods manufacturing employing a massive number of people for a significant time period, it is services that dominate the economic landscape of what are considered to be first world countries. With the process of industrialization, a number of people have seen themselves left out in the cold, and while indeed it benefited the society as a whole in terms of prices, there was a good chunk of people who are having serious problems getting by. As time passed, even from those few jobs left, a good portion of them had been relocated to countries such as China and India, and amongst other factors, found that wages were lesser, thus permitting companies to keep their prices competitive.
The loss of manufacturing jobs would have been even more of a significant blow to a number of countries if not for a booming service sector that kept on growing. Service economy, if brought down to an analogy would be something like this: If an individual had the skill and would want to make a pie, they would pick and use certain commodities, if all those commodities would be packaged nicely in a box that they could take off a store shelf, that would be good. The service economy, in this case, would be the outsourcing the whole process to a third party, from the picking of commodities, the baking of the pie and provide the venue for the individual in question to enjoy the pie. That is how the service economy could be described in a nutshell.
A well-functioning economy is crucial and as such, it should be noted that there is a massive array of services in existence today. Services include everything and anything like medical, legal, financial, leisure and so on. Most people are probably familiar with services that revolve around leisure, such as tourism, an industry that employs a large number of people all over the world.