
Profit is the major purpose for a company. Most of people must know the concept. Cost is always the enemy for the profit. If you can't cut the cost (operation, personnel, material, etc), there is little profit at all, even got lost.
Service is the major profit source for a company. The service covers different types, such as technology, product, labor, sub-contract, and so on. How a company has profit? It depends on the service competition. The more competition in the market, the much more profit will be. Whatever they did, the major purpose is to get the profit from the activities.
Define a good service or product is much more complicate. For an advanced company, such Apple did, they are a creator. The type of company create the new feature and business model for market. They are pioneer and depends on the users' need.
The other type of companies focus on better quality on service (such as customization for users), provide efficiency business model for users. But part of companies, they are followers. They still can get the profit, due to they can develop a cost-effective product or service. They follow the market leader, improve the product function or spec, and get an attractive cost to get much profit from the market. There are also many companies just use the cheap solution or fake functionality deprive the normal product market share.
Bad money drives out good money. This is popular in the consumer market. Most of product life cycle is very short from three to six months.
It will be important, if you can provide the competition and differential service or product to users. You will win the customers from the market.