Abstract
Professional services are a special class of services that are becoming increasingly prevalent in the US economy and are representing an increasing share of service exports. Information-based service firms and employees are the prototype firms of the future and present unique opportunities for improving work-force productivity and service exports. The benefits of innovation in professional services include greater productivity in existing services and creation of new service markets. Service firm employees, organization, processes, technology, and market links all offer opportunities for innovation. Many product innovation concepts apply to professional service innovation; however, some unique challenges and opportunities arise.
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