What Is the Tertiary Sector?

The tertiary sector is focused on tertiary production, which is commercial services that work to provide support to distribution and production processes such as warehousing, transport services, insurance services, teaching, health care and advertising services. In the industrial world, there are three types of industry sectors: primary sectors, secondary sectors and tertiary sectors.

Primary sectors focus on primary production, which is the task of obtaining raw materials such as metals, rubbers, coal, fish and other foods. Secondary sectors focus on secondary production, which is the process of manufacturing and assembly. This process includes everything from making plastics from oil to building houses, roads and bridges. In this process, the raw materials from the primary sector are turned into components and products.

Tertiary sectors are interdependent on the other two sectors in order for businesses to operate functionally. Governments often place sanctions on the various sectors when trying to impose new rules. An example of this would be the international community’s sanctions on oil coming from Russia in August of 2014. Putin, the Prime Minister of Russia, was not listening to international rules and laws so the international community decided to impose sanctions that would hurt his ability to govern effectively and popularly in his own country. Sanctions include hindering technology transfer as well as inhibiting cooperation from other countries.