Conclusion
Unlike commodity markets where logistics create structural, location and organisational constraints, the service economy comprises a wide range of activities that can be delivered from anywhere in the world. Many of these activities may also form part of manufacturing value chains. Effectively virtualis- ation makes it impossible in many cases to dis- tinguish between internal and external supply, or local or remote delivery. The ability to specify, moni- tor and control an activity is little different. Given large international cost differences in hitherto non- traded service resources, the low-level remote deliv- ery reflects inertia as much as equilibrium under tra- ditional transaction cost theory.