Deck 10: Services: The Intangible Product

Question 1

Which of the following characteristics of services is most likely to be reduced through training and standardization?

A)Intangibility
B)Inconsistency
C)Perishability
D)Durability
E)Inseparability

Answer 1

B

Question 2

No chef will be able to reproduce the same taste with the same dish every time regardless of using the same recipe and technique.Which of the following characteristics of services is being exemplified in the given scenario?

A)Tangibility
B)Variability
C)Perishability
D)Durability
E)Separability

Answer 2

B

Question 3

Which of the following is NOT true about service gap?

A)It could be due to firm's misperception of customers' expectations
B)It results when delivery of a service fails to meet customers' expectations
C)Service providers can close the gap by offering consistent service.
D)It could be due to the difference between the firm's standards and customers' expectation
E)It results in customer dissatisfaction.

Answer 3

C

Question 4

The term "inseparable" refers to a characteristic of service, which states that:

A)services cannot be touched, tasted, or seen.
B)the quality of service may vary because it is provided by humans.
C)services cannot be held in inventory.
D)services are produced and consumed at the same time.
E)services are perishable and cannot be stored for future use.

Question 5

Any intangible offering that involves a deed, performance, or effort that cannot be physically possessed is called a(n):

A)artefact.
B)commodity.
C)service.
D)pure good.
E)inventory.

Question 6

When service providers state that services are produced and consumed at the same time, they are referring to the fact that services are:

A)inconsistent.
B)intangible.
C)inseparable.
D)standardized.
E)perishable.

Question 7

Which of the following is true of services offered by business organizations?

A)The tangibility of services can be reduced through training and standardization.
B)Marketing of services is less challenging compared to marketing of products.
C)The inconsistent nature of services does not provide an opportunity for marketers to use it to their advantage.
D)The perishability of services is a challenge for marketers as they have to match the demand and supply.
E)Services cannot be produced and consumed at the same time.

Question 8

Empty seats in airlines and empty rooms in hotels might be sold for a fraction of the original price.This is due to which service characteristic?

A)Intangibility
B)Inconsistency
C)Perishability
D)Durability
E)Inseparability

Question 9

All the followings are unique characteristics of a service EXCEPT:

A)Intangible
B)Perishable
C)Variable
D)Durable
E)Inseparable

Question 10

A state-of-the-art gym provides a separate recreation area where customers can play chess, scrabble, and table tennis.Not many customers use this facility.Which of the following reflects the lack of perception of customer expectation on the part of the gym?

A)Communication gap
B)Delivery gap
C)Standards gap
D)Knowledge gap
E)Zone of tolerance

Question 11

A high-end restaurant tries to create a niche for itself in the urban market by providing its customers exotic food, themed interiors, and a cozy atmosphere.Which of the following characteristics has been emphasized by the high-end restaurant?

A)Separability
B)Consistency
C)Durability
D)Tangibility
E)Perishability

Question 12

Service providers at a hair salon notice that most customers prefer reading fashion magazines.The salon then decides to subscribe to more fashion magazines and cancel its subscription to other non-fashion magazines.This approach shows that the salon is trying to reduce the:

A)communication gap.
B)delivery gap.
C)knowledge gap.
D)standards gap.
E)zone of tolerance.

Question 13

The most fundamental difference between a product and a service is that a service is:

A)personalized.
B)intangible.
C)consistent.
D)durable.
E)separable.

Question 14

A car service provider allows customers to decide on the services they want to avail and to be directly involved in the service.The service provider has employed this measure to overcome which of the following characteristics of services?

A)Intangibility
B)Inseparability
C)Durability
D)Perishability
E)Inconsistency

Question 15

A retirement home has provided bicycles to its residents to help them move around the housing area.However, the residents are not keen on using this service and prefer to use golf carts instead.This is an example of which type of gap?

A)Communication
B)Delivery
C)Standards
D)Knowledge
E)Common

Question 16

Marketing a service is more challenging than marketing a product because a service is:

A)intangible.
B)separable.
C)invariable.
D)consistent.
E)durable.

Question 17

When a firm is trying to match customer expectations with actual service through research, it is attempting to reduce the:

A)knowledge gap.
B)standards gap.
C)delivery gap.
D)communication gap.
E)time gap.

Question 18

When marketers refer to the fact that services cannot be held in inventory or stored for future use, they are stating that services are:

A)intangible.
B)durable.
C)variable.
D)perishable.
E)standardized.

Question 19

The difference between customers' expectations and a firm's perception of those customer expectations is reflected in the:

A)standards gap.
B)communication gap.
C)delivery gap.
D)zone of tolerance.
E)knowledge gap.

Question 20

Which of the following is a straightforward and inexpensive method of collecting consumers' perceptions of service quality?

A)Bridging the standards gap
B)Gathering information at the time of a sale
C)Defining the zone of tolerance
D)Making effective use of customer complaint behaviour
E)Establishing specific marketing metrics

Question 21

Which of the following service dimensions refers to a service provider's ability to perform a service dependably and accurately?

A)Responsiveness
B)Reliability
C)Empathy
D)Assurance
E)Tangibles

Question 22

Jennifer, who works as a dietician at a gym, checks with customers regarding their food habits and preferences before planning a specific diet chart for them.This specific understanding of the customers' expectations will help her in reducing primarily the:

A)delivery gap.
B)zone of tolerance.
C)standards gap.
D)consistency gap.
E)knowledge gap.

Question 23

Which of the following refers to the difference between a firm's perceptions of customers' expectations and the service levels it sets?

A)Knowledge gap
B)Standards gap
C)Zone of tolerance
D)Delivery gap
E)Communication gap

Question 24

A well-known airline company trains its employees to efficiently handle customer queries and provide services according to the guidelines set by the firm.The company focuses on consistency amidst all employees.The training strategy employed by the firm will primarily help in the reduction of the:

A)knowledge gap.
B)zone of tolerance.
C)communication gap.
D)delivery gap.
E)standards gap.

Question 25

By setting appropriate service benchmarks and measuring service performance, firms can reduce the:

A)knowledge gap.
B)delivery gap.
C)zone of tolerance.
D)communication gap.
E)standards gap.

Question 26

By getting employees to meet or exceed service standards, firms try to reduce the:

A)standards gap.
B)knowledge gap.
C)zone of tolerance.
D)delivery gap.
E)communication gap.

Question 27

The delivery gap differs from the knowledge gap in that the knowledge gap reflects the difference between:

A)a firm's service standards and the actual service it provides to customers.
B)actual services provided to customers and services that a firm's promotion program promises.
C)a firm's perceptions of customers' expectations and the service standards it sets.
D)customers' expectations and the actual service provided to the customers.
E)customers' expectations and a firm's perception of those expectations.

Question 28

Kathryn gets a haircut done only by Jane as Jane has been able to meet Kathryn's expectations every time she has given her a haircut.The dimension of service that influences Kathryn's decision is:

A)distributive fairness.
B)reliability.
C)tangibility.
D)responsiveness.
E)empathy.

Question 29

In the context of service quality, the dimension of reliability refers to the:

A)willingness of service providers to help customers and provide prompt service.
B)knowledge of and courtesy by employees and their ability to convey trust and confidence.
C)ability to perform a service dependably and accurately.
D)caring, individualized attention provided to customers.
E)appearance of physical facilities, personnel, and communication materials of service.

Question 30

Firms can close the communication gap by:

A)getting employees to meet or exceed service standards.
B)achieving service goals through training.
C)matching expectations with actual service through customer research.
D)being realistic about the services they provide and managing customer expectations.
E)evaluating the service quality by using well-established marketing metrics.

Question 31

By being more realistic about the services they can provide and by managing customer expectations effectively, firms can reduce the:

A)zone of tolerance.
B)knowledge gap.
C)standards gap.
D)delivery gap.
E)communication gap.

Question 32

The difference between the actual service provided to customers and the service that a firm's promotion program promises is referred to as the:

A)knowledge gap.
B)standards gap.
C)communication gap.
D)delivery gap.
E)zone of tolerance.

Question 33

The standards gap differs from the delivery gap in that the delivery gap is the difference between:

A)actual services provided to customers and services that a firm's promotion program promises.
B)a firm's perceptions of customers' expectations and the service standards it sets.
C)customers' expectations and a firm's perception of those expectations.
D)a firm's service standards and the actual service it provides to customers.
E)a firm's service standards and the service that the firm's promotion program promises.

Question 34

Customers' perceptions of how well a service meets or exceeds their expectations is referred to as:

A)the service gap.
B)the service recovery.
C)the service quality.
D)distributive fairness.
E)procedural fairness.

Question 35

Firms can close the knowledge gap by:

A)setting appropriate service standards and measuring service performance.
B)getting employees to meet or exceed service standards.
C)matching customer expectations with actual service through research.
D)reducing service inconsistency through standardization and training.
E)being more realistic about the services they provide and managing customer expectations effectively.

Question 36

The delivery gap differs from the communication gap in that the communication gap refers to the difference between:

A)the firm's perceptions of customers' expectations and the service standards it sets.
B)the actual service provided to customers and the service that the firm's promotion program promises.
C)the customers' expectations and the service standards set by the firm.
D)the firm's service standards and the actual service it provides to customers.
E)customers' expectations and the firm's perception of those expectations.

Question 37

An electronics retail chain allows its front-line employees to make adjustments in day-to-day activities based on the needs of its customers across its outlets in various locations.This approach will help the retail chain in reducing the:

A)knowledge gap.
B)delivery gap.
C)standards gap.
D)communication gap.
E)zone of tolerance.

Question 38

The knowledge gap differs from the standards gap in that the standards gap pertains to the difference between:

A)a firm's service standards and the actual service it provides to customers.
B)customers' expectations and a firm's perception of those expectations.
C)a firm's perceptions of customers' expectations and the service standards it sets.
D)customers' expectations and service standards set by a firm.
E)actual services provided to customers and services that a firm's promotion program promises.

Question 39

The standards gap differs from the communication gap in that the standards gap pertains to the difference between:

A)a firm's service standards and the actual service it provides to customers.
B)actual services provided to customers and services that a firm's promotion program promises.
C)a firm's perceptions of customers' expectations and the service standards it sets.
D)customers' expectations and the service that a firm's promotion program promises.
E)customers' expectations and a firm's perception of those expectations.

Question 40

The difference between a firm's service standards and the actual service it provides to customers is called the:

A)delivery gap.
B)communication gap.
C)knowledge gap.
D)zone of tolerance.
E)standards gap.

Question 41

Dr.White is experienced and is regarded as highly knowledgeable.Patients prefer to consult him as he instills faith and confidence in them.The dimension of service influencing the decision of patients in this scenario is:

A)coherence.
B)assurance.
C)durability.
D)relativity.
E)tangibility.

Question 42

The residents of Safe Life, a retirement home in Canada, are provided with good care, and the volunteers who help them provide complete attention to their needs.The residents are happy with the service being offered to them.The dimension of service on which the retirement home will score high is:

A)reliability
B)tangibility.
C)empathy.
D)totality.
E)assurance

Question 43

The appearance of physical facilities, equipment, personnel, and communication materials is summarized by the service dimension called:

A)reliability.
B)responsiveness.
C)tangibles.
D)assurance.
E)empathy.

Question 44

Skyline Aviation is unable to gain the trust of its customers because its ground operations staff is inefficient and discourteous when handling customer queries during service failures.The customers of this airlines are likely to rate it below the zone of tolerance in which dimension?

A)Assurance
B)Durability
C)Reliability
D)Tangibles
E)Accuracy

Question 45

Which of the following service dimensions involves providing caring and individualized attention to customers?

A)Empathy
B)Reliability
C)Assurance
D)Responsiveness
E)Tangibility

Question 46

The University of Westry has a very traditional campus with an old-world look and feel.The dormitory rooms are large, but the bathrooms look a little old.Which of the following service quality dimensions does this reflect?

A)Assurance
B)Reliability
C)Tangibility
D)Responsiveness
E)Empathy

Question 47

The service dimension that refers to the willingness of service providers to help customers and provide prompt service is:

A)relativity.
B)empathy.
C)tangibility.
D)responsiveness.
E)reliability.

Question 48

A well-known restaurant asked its customers to evaluate its service quality by filling out a questionnaire.The analysis of the questionnaire showed that the restaurant scored below the zone of tolerance on the tangibles dimension.This implies that the customers were not happy with the:

A)employees' ability in performing a service.
B)knowledge and courteousness of the employees.
C)attitude of the manager.
D)facilities provided by the restaurant.
E)attention provided to them by the employees.

Question 49

A beach resort provides a questionnaire to its customers when they are checking out of the resort that asks customers to rate the service based on different service quality dimensions.The resort will use their answers to check if the services have met customer expectations.Which of the following can be best established by the resort using the collected information?

A)Distributive fairness
B)Zone of tolerance
C)Assurance gap
D)Delivery gap
E)Procedural fairness

Question 50

The area between customers' expectations regarding their desired service and the minimum level of acceptable service is called the:

A)knowledge gap.
B)zone of tolerance.
C)communication gap.
D)voice-of-customer program.
E)standards gap.

Question 51

When a firm asks its customers about a service quality dimension that relates to customers' desired and expected level of service, the firm is trying to define the:

A)zone of tolerance.
B)communication gap.
C)responsiveness aspect.
D)delivery gap.
E)standards gap.

Question 52

The dimension of responsiveness used by customers to determine overall service quality refers to the:

A)knowledge of and courtesy used by employees and their ability to convey trust and confidence.
B)willingness of service providers to help customers and provide prompt service.
C)ability of service providers to perform a service dependably and accurately.
D)caring, individualized attention provided to customers by service providers.
E)appearance of physical facilities, equipment, personnel, and other aspects of services.

Question 53

The service dimension that refers to the knowledge of and courtesy by employees and their ability to convey trust and confidence is called:

A)empathy.
B)tangibility.
C)reliability.
D)responsiveness.
E)assurance.

Question 54

An ongoing marketing research system that collects customer insights and intelligence to influence and drive business decisions is referred to as:

A)an observation.
B)the zone of tolerance.
C)a voice-of-customer program.
D)distributive fairness.
E)procedural fairness.

Question 55

Sara does not like to wait for long before being served at a restaurant.Hence, the dimension of service that will influence Sara when she rates the quality of service at a restaurant will be:

A)durability.
B)reliability.
C)tangibility.
D)responsiveness.
E)empathy.

Question 56

A new hotel in the city styles its rooms in a contemporary manner and provides modern amenities such as wireless Internet and a 3-D gaming arena that caters to the younger population.Which of the following service dimensions do these facilities represent?

A)Empathy
B)Responsiveness
C)Reliability
D)Assurance
E)Tangibles

Question 57

An electronics retail chain asked its customers to rate the service it provides at its customer support division based on the inclination and alertness of staff members in providing service to customers.The service dimension that the company is trying to evaluate in this scenario is:

A)relativity.
B)responsiveness.
C)inseparability.
D)durability.
E)tangibility.

Question 58

Eric prefers to travel by a particular airline because he is impressed by the care and attention provided by its staff to make the passengers feel valued and special.The service dimension influencing Eric's decision to choose that airline is:

A)reliability
B)assurance
C)empathy.
D)empowerment.
E)durability.

Question 59

Karen always uses the services of Flash Couriers because of its competency in delivering packages almost always on time.The service dimension influencing Karen's choice in this scenario is:

A)inseparability.
B)reliability.
C)relativity.
D)empathy.
E)tangibility.

Question 60

Jane prefers to visit a particular hair salon because of its skilled hairstylists who are friendly and have gained her trust by providing good service during her previous visits.The service dimension influencing Jane's decision to stick to the same service provider is:

A)coherence.
B)assurance.
C)tangibility.
D)durability.
E)empathy.

Question 61

A local grocery store has set up an automatic billing counter for customers who buy fewer than five items so that they need not wait long to check out.This has made the billing process efficient, and customers are very satisfied.This strategy reduces the:

A)zone of tolerance.
B)standards gap.
C)knowledge gap.
D)delivery gap.
E)communication gap.

Question 62

The CEO of a services company routinely attends the team meetings of the company.He understands customer problems and provides solutions based on his experience and by following a standard, well-defined process.This works as a cue to the employees to emulate the CEO in the way problems are handled.Which of the following strategies is being exemplified in this scenario?

A)Empowering employees
B)Providing support to service providers
C)Committing to service quality
D)Replacing people with machines
E)Achieving service goals through training

Question 63

Tom, who works as a flight attendant, puts in long hours serving customers.The management, noticing his efforts, recommends him for the Star of the Year award.This reward strategy will help in reducing which gap?

A)Communication
B)Standards
C)Knowledge
D)Communion
E)Delivery

Question 64

Kathy plans a weekend getaway to a natural lake resort known for its migratory birds.On arrival, she learns that the hotel is overbooked.Reception places Kathy in a lower-priced shared accommodation instead of the studio room that she had booked.Kathy decides not to book with the resort again.The service provider was unable to recover the service failure because:

A)it did not narrow Kathy's zone of tolerance.
B)it was not permitted to compensate her.
C)it did not provide adequate compensation to Kathy.
D)it did not convince Kathy even after she received fair compensation.
E)it did not respond immediately to her complaints.

Question 65

What are customers'' expectation based on?

A)Perception and experiences
B)Knowledge and perception
C)Experiences and knowledge
D)Attitude and perception
E)Knowledge and attitude

Question 66

Harris Inc., a multinational retailer, introduced a new initiative to improve its customer service across its stores.In its recent initiative, Harris has authorized its store representatives to make their own decisions to help their customers.In the context of service delivery, which of the following best describes Harris's initiative?

A)Providing durable services
B)Reducing the zone of tolerance
C)Encouraging distributive fairness
D)Empowering service providers
E)Promoting procedural fairness

Question 67

Which of the following strategies will help a firm in reducing the standards gap?

A)Promising only what it can deliver or a little less
B)Using customer complaint behaviour effectively
C)Collecting consumers' perceptions of service quality by using a questionnaire
D)Setting specific service standards based on customers' expectations
E)Replacing people with machines

Question 68

The evaluation of service quality by defining the zone of tolerance will help the hotel to reduce which gap?

A)Criterion
B)Knowledge
C)Customer
D)Communication
E)Communion

Question 69

A local utilities company has set up an online mechanism to pay bills that provides information to customers online so that the customers do not have to drive down to the local office.This service has improved customer satisfaction immensely and encouraged timely payment and resolution of issues.This strategy helps to reduce the company's:

A)knowledge gap.
B)delivery gap.
C)communication gap.
D)standards gap.
E)zone of tolerance.

Question 70

Kerry Inc., a garment exporter, established detailed guidelines pertaining to garment shipping and return policies of its firm.This move has tended to reduce consumer grievances and uncertainty associated with international shipping.Which of the following has been established by Kerry in the given scenario?

A)Procedural fairness
B)Inseparability
C)Empowerment
D)Distributive fairness
E)Zone of tolerance

Question 71

An event management company that specializes in wedding receptions and birthday parties clarifies with clients the services it can actually provide and the number of guests it can handle before taking on an assignment.The company is trying to reduce the communication gap by:

A)setting lofty service standards.
B)forcing its employees to meet the goals.
C)committing to provide more services.
D)trying to match customer expectations.
E)promising only what it can deliver.

Question 72

A company that specializes in water purifiers recently installed a system at John's house.John realizes that the system is faulty because the purifier developed a leak within a few days of installation.John calls the company's service team, which goes over the problem in detail with him and then sends service personnel to John's house to fix the problem.In this scenario, the company tried to resolve the issue by:

A)attempting to rectify the situation.
B)explaining the process they use to resolve complaints.
C)providing adequate compensation for the inconvenience.
D)replacing the system.
E)eagerly listening to John's complaint and resolving the problem.

Question 73

Jimmy's car garage provides great service to its customers by providing tips and guidelines to manage automobiles.The strategy used by the garage to reduce the standards gap is:

A)analyzing service performance by using service dimensions.
B)providing incentives to its service providers.
C)replacing people with machines.
D)achieving service goals through training.
E)understanding customers' expectations through research.

Question 74

Valuemart, a supermarket chain, trains its employees to perform their tasks according to the guidelines set by the firm.This method employed by them will help the firm in reducing the:

A)zone of tolerance.
B)knowledge gap.
C)standards gap.
D)delivery gap.
E)communication gap.

Question 75

Despite a firm's best efforts, sometimes service providers fail to meet customer expectations.In such a scenario, which of the following provides a unique opportunity to a firm to demonstrate its customer commitment?

A)Focusing on the service quality dimension of tangibles
B)Providing service recovery
C)Broadening the communication gap
D)Narrowing the zone of tolerance
E)Widening the service gap

Question 76

Joanne bought a gift for her friend's birthday from an online website.The service provider failed to deliver the gift on the day it had promised.To compensate, the service provider provided coupons to Joanne a week later, which she could use to make more purchases online from them.The service recovery strategy that the service provider used in this instance was:

A)widening the standards gap.
B)resolving the problem immediately.
C)achieving goals through training.
D)finding a fair solution.
E)narrowing the zone of tolerance.

Question 77

A fast-food outlet offers home delivery.When Chris calls to place an order, the restaurant informs him that the delivery of the order will be delayed because of a delivery staff shortage.Which of the following is most likely to be reduced by the fast-food outlet by using the strategy given in the scenario?

A)Knowledge gap
B)Delivery gap
C)Communication gap
D)Zone of tolerance
E)Standards gap

Question 78

A customer's perception of the benefits he or she received compared with the costs that resulted from a service failure is called:

A)procedural fairness.
B)the service gap.
C)distributive fairness.
D)the delivery gap.
E)the communication gap.

Question 79

Which of the following statements best describes the communication gap?

A)It refers to the difference between a firm's service standards and the actual service it provides to customers.
B)It can be reduced effectively by empowering service providers.
C)It can be reduced by managing customer expectations effectively.
D)It reflects the difference between customers' expectations and a firm's perception of those customer expectations.
E)It can be closed by getting employees to meet or exceed service standards.

Question 80

Most customers allotted a high importance score for the reliability dimension.This shows that most of the customers give importance to:

A)the willingness of the employees to provide a prompt service.
B)the knowledge and the courtesy shown by the employees.
C)the care and attention provided to them by the employees.
D)the ability of the employees to provide service accurately.
E)the appearance of the hotel and its employees.