1. Basic services: In any country several services such as hospitals, educational institutions, post and telegraph services, police stations, courts, village administrative offices, municipal corporations, defence, transport, banks and insurance companies are required; these are basic services which, in a developing country, the government has to provide. 2. Growth of primary and secondary sectors: The development of agriculture and industry leads to the development of services such as transport, trade and storage; the greater the development of the primary and secondary sectors, the more would be the demand for such services. 3. Rise in income levels: As income levels rise, people begin to demand many more services like eating out, tourism, shopping, private hospitals, private schools and professional training; this can be seen especially in big cities. 4. New services based on technology: Over the past decade or so, certain new services such as those based on information and communication technology have become important and essential, and the production of these services has been rising rapidly. 5. Largest producing sector: Over the past forty years the share of the tertiary sector in GDP has risen the most, and it has emerged as the largest producing sector in India, replacing the primary sector. 6. But employment has not risen equally: Not all service-sector activities are growing equally well - a large number of workers such as small shopkeepers, repair persons, transporters and casual workers are engaged in small-scale services only because they do not have any other option. 7. Conclusion: Hence, while the tertiary sector has become the most important sector in terms of production, the shift of employment towards it has been slower, and much of the sector remains unorganised.