Final answer:
The term refers to the transition from manufacturing to service delivery, influenced by globalization and technological advancements. The impact of the internet has increased global competition and fostered the growth of B2B platforms, while outsourcing and offshoring have changed the labor market dynamics.
Step-by-step explanation:
The term used to describe the trend in which businesses have shifted from primarily production and manufacturing to more service delivery is a reflection of the broader impacts of globalization and advances in technology. This transition is marked by an increase in service-oriented businesses and the outsourcing and offshoring of various jobs. Globalization has made it possible for buying and selling in markets to increasingly cross national borders, thereby changing the dynamics of competition and market operations.
The advancement in communications technologies, specifically the internet, has enabled consumers to access products and services from providers located anywhere in the world. This interconnectivity has increased competition among local businesses and has also fostered the growth of business-to-business (B2B) platforms. These platforms enable suppliers and buyers around the globe to connect and transact, further promoting the shift towards service delivery and the globalization of markets.
Outsourcing and offshoring are also prevalent trends contributing to changes in the labor market. With these practices, jobs that were traditionally localized, including customer service and other services, have been contracted out or moved to different countries, leading to a demand shift in the workforce and impacting job availability and skill requirements.