Qaqortoq is one of the most important educational towns in Greenland, with a primary and lower secondary school with 450 pupils, an upper secondary school, a commercial school, a workers college and a basic vocational school. The most important manufacturing companies are the shrimp factory, the tannery and the boatbuilder's yard. Furthermore, Qaqortoq has a number of services, such as the telecommunication company. Qaqortoq is well supplied with building and property development firms and has a many-sided retail trade.

Within the next five to six years the building of a landing strip for fixed-winged aeroplanes is planned. Such a landing strip, together with the geographic placing of Qaqortoq, will make it possible to develop a transit port for transportation between Europe and the North American continent. Thus, Qaqortoq has good potential for continued, rapid growth in the future. Furthermore, there is the prospect of cheap and non-polluting energy for manufacturing companies as the construction of a hydro-power plant is planned near Qaqortoq.

In the fields of art and culture, Qaqortoq is in the forefront. The culture house of South Greenland, "Puilasoq", is situated here and has led to contact, especially with the Nordic countries. Many Nordic artists have visited the town and have been inspired by the surroundings. A unique project was carried out during 1993 and 1994 when 24 sculptures and reliefs were created. "Stone and Man" was initiated by one of the town's own well-known artists, and no less than 18 Nordic artists were involved. The works now form an "open-air gallery" around the town.

The history of Qaqortoq goes back to 1775, but the well-preserved church ruin at "Hvals¯" and many other ruins bear witness to the settlement of the Norsemen in the rich, South Greenland fjords 1,000 years ago. Today, the same fjords are inhabited by modern sheep farmers.