Question 1

Cocktail lounges in restaurants are examples of ________.

Accepted Answer

A)  differential pricing 
B)  cultivating nonpeak demand 
C)  complementary services 
D)  reservation systems 
E)  shared services

Question 2

________ refers to training and motivating employees to serve customers well.

Accepted Answer

A)  External marketing 
B)  Promotional marketing 
C)  Direct marketing 
D)  Internal marketing 
E)  Interactive marketing

Question 3

Angela switched to a new hair stylist after getting a bad haircut from her previous stylist. This is an example of which of the following factors leading to customer switching behavior?

Accepted Answer

A)  service encounter failure 
B)  core service failure 
C)  response to service failure 
D)  involuntary switching 
E)  competition

Question 4

Which of the following is an example of a gap between management perception and the service-quality specifications?

Accepted Answer

A)  The college brochure showed state-of-the-art classrooms, but when the visitors walked in, they saw peeling walls and dull lighting. 
B)  A nurse visits a patient to show care, but the patient interprets this as an indication that something is very wrong. 
C)  The hotel administrators think that guests want better food, but guests are more concerned with the courtesy of the waiters. 
D)  A service center manager has asked his subordinates to provide fast service, but has not specified a time for the service to be performed. 
E)  Customer service representatives are asked to give ample time to each customer, but must serve a minimum of 50 customers a day.

Question 5

Package delivery company UPS uses distinctive brown trucks that have become almost an icon. Explain why such physical facilities are important for UPS while it provides package delivery services.

Accepted Answer

The answer of Package delivery company UPS uses distinctive brown...

Question 6

Intangibility with regards to a service means that the service cannot be duplicated across providers.

Accepted Answer

A) True 
 B)False

Question 7

Which one of the following is highest in search qualities?

Accepted Answer

A)  a play at a theater 
B)  a meal at a restaurant 
C)  a haircut 
D)  psychotherapy 
E)  a computer

Question 8

Susanna wanted to check out a new salon in her locality, so she decided to go for a hair styling session. She was very happy with the way her stylist connected and related with her concerns. She is judging the service based on its ________.

Accepted Answer

A)  promotional marketing 
B)  functional quality 
C)  technical quality 
D)  search qualities 
E)  external marketing

Question 9

A service is essentially intangible.

Accepted Answer

A) True 
 B)False

Question 10

When Johnson Controls reached beyond its climate control equipment and components business to manage integrated facilities by offering products and services that optimize energy use, it was said to be providing ________.

Accepted Answer

A)  facilitating services 
B)  a primary service package 
C)  value-augmenting services 
D)  service contracts 
E)  service warranties

Question 11

Some WesternSlope Cleaning customers have long-term contracts for full-service cleaning, while others call the company as and when they require a particular service. The long-term customers have their queries handled by the company's customer service representative. The rest of its customers are directed towards voice messages when they want their inquiries to be processed. What strategy is the company adopting to achieve marketing excellence?

Accepted Answer

The answer of Some WesternSlope Cleaning customers have long-term contracts...

Question 12

The zone of tolerance for a service is the perceived economic benefits in relationship to the economic costs.

Accepted Answer

A) True 
 B)False

Question 13

The advertisement for a pool reads "a vinyl pool from Parker's for just $5000." When David contacted the firm for the pool, the customer service representative tells David that the total cost will be $8000. When David enquires about the extra $3000, the customer service representative says that is for installation. Which service-quality gap does this situation demonstrate?

Accepted Answer

The answer of The advertisement for a pool reads "a...

Question 14

Inseparability in the context of a service means that there is a provider-client interaction involved as the provider is part of the service.

Accepted Answer

A) True 
 B)False

Question 15

A product's purchase cost plus the discounted cost of maintenance and repair less the discounted salvage value is known as the product's activity cost.

Accepted Answer

A) True 
 B)False

Question 16

In which of the following does a customer respond to the technical quality of a service?

Accepted Answer

A)  Sara's preferred hair stylist is some miles away, but Sara goes to him because his styles suit her looks. 
B)  Kathy tries out a new restaurant every week, because she likes to experience the variety. 
C)  Bill has gone to the same chiropractor for the past fifteen years, because he is friendly and takes the time to listen to Bill. 
D)  Ray avoids going to the bank as far as possible because the manager is rude and unhelpful. 
E)  Alex has no interest in theater, but goes often because her best friend loves plays.

Question 17

Retail chain REB wants to find out how its customers perceive its services and what it can do to improve these. What methods can the company use to discover this?

Accepted Answer

The answer of Retail chain REB wants to find out...

Question 18

List the eight different variables that influence service outcome and customer loyalty.

Accepted Answer

The answer of List the eight different variables that influence...

Question 19

The service-quality model highlights the main requirements for delivering high service quality. Which are the five gaps that cause unsuccessful delivery?

Accepted Answer

The answer of The service-quality model highlights the main requirements...

Question 20

Pricing has no negative effect on customer loyalty.

Accepted Answer

A) True 
 B)False

Exam 13: Designing and Managing Services

Cocktail lounges in restaurants are examples of ________.

________ refers to training and motivating employees to serve customers well.

Angela switched to a new hair stylist after getting a bad haircut from her previous stylist. This is an example of which of the following factors leading to customer switching behavior?

Which of the following is an example of a gap between management perception and the service-quality specifications?

Package delivery company UPS uses distinctive brown trucks that have become almost an icon. Explain why such physical facilities are important for UPS while it provides package delivery services.

Intangibility with regards to a service means that the service cannot be duplicated across providers.

Which one of the following is highest in search qualities?

Susanna wanted to check out a new salon in her locality, so she decided to go for a hair styling session. She was very happy with the way her stylist connected and related with her concerns. She is judging the service based on its ________.

A service is essentially intangible.

When Johnson Controls reached beyond its climate control equipment and components business to manage integrated facilities by offering products and services that optimize energy use, it was said to be providing ________.

The zone of tolerance for a service is the perceived economic benefits in relationship to the economic costs.

Inseparability in the context of a service means that there is a provider-client interaction involved as the provider is part of the service.

A product's purchase cost plus the discounted cost of maintenance and repair less the discounted salvage value is known as the product's activity cost.

In which of the following does a customer respond to the technical quality of a service?

Retail chain REB wants to find out how its customers perceive its services and what it can do to improve these. What methods can the company use to discover this?

List the eight different variables that influence service outcome and customer loyalty.

The service-quality model highlights the main requirements for delivering high service quality. Which are the five gaps that cause unsuccessful delivery?

Pricing has no negative effect on customer loyalty.