Question 1

Which one of the following is not an example of a high customer contact service?

Accepted Answer

A)   Dry cleaning.
B)   Banking.
C)   School.
D)   Hotel. A

Question 2

Limited discretion of service workers is a feature of the production-line approach to service design.

Accepted Answer

A) True 
 B)False  True

Question 3

Basic research typically is limited to federal, university, and nonprofit organizations.

Accepted Answer

A) True 
 B)False  True

Question 4

A service blueprint can be used for all but one of the following.

Accepted Answer

A)   Educate customers.
B)   Identify areas of service improvement.
C)   Maintain the level of service complexity and divergence.
D)   Identify points where moments of truth will occur.

Question 5

Ideas for new service innovations often originate with customers.

Accepted Answer

A) True 
 B)False

Question 6

The new service development process cycle contains all but one of the following activities.

Accepted Answer

A)   Engineering.
B)   Analysis.
C)   Development.
D)   Full launch.

Question 7

A service with a low degree of divergence allows a manager to consider all but one of the following options.

Accepted Answer

A)   Hire workers who have little technical skills.
B)   Substitute automation for repetitive tasks.
C)   Empower workers with decision-making authority.
D)   Incorporate a "production-line" approach to service.

Question 8

Which of the following is not an advantage of reducing the divergence of a service process?

Accepted Answer

A)   Improved productivity.
B)   Uniformity.
C)   Greater flexibility.
D)   Reduced costs.

Question 9

Investment banking is a financial service that has high complexity and high divergence.

Accepted Answer

A) True 
 B)False

Question 10

Which of the following is not a characteristic of a production-line approach to provide a service?

Accepted Answer

A)   Division of labor.
B)   Substitution of technology for people.
C)   Standardization of the process and service provided.
D)   High employee autonomy in task execution.

Question 11

Which of the following is not an incremental service innovation?

Accepted Answer

A)   Service line extension.
B)   Service improvements.
C)   Style changes.
D)   Service quality initiative.

Question 12

Blockchain technology is based upon the cyber currency Bitcoin.

Accepted Answer

A) True 
 B)False

Question 13

A major incentive for innovation in services is the ability to patent an idea.

Accepted Answer

A) True 
 B)False

Question 14

A "line of interaction" also can be found on a service blueprint.

Accepted Answer

A) True 
 B)False

Question 15

One advantage of reduced divergence is ________.

Accepted Answer

A)   quicker response to market demands
B)   greater efficiency
C)   maximization of revenue per customer
D)   the ability to command higher prices

Question 16

The most interactive element in the service blueprint of a fitness facility is the ________.

Accepted Answer

A)   choice of music played
B)   amount and type of exercise equipment
C)   attention given to prospective members on their initial visit
D)   cleanliness of the locker rooms

Question 17

Check processing is an example of a process with ________.

Accepted Answer

A)   indirect customer contact and low divergence
B)   direct customer contact and low divergence
C)   no customer contact and high divergence
D)   no customer contact and low divergence

Question 18

Dry cleaning is an example of a service where isolation of the technical core would be inappropriate.

Accepted Answer

A) True 
 B)False

Question 19

A factor that simplifies the design of service systems is the presence of the customer in the process.

Accepted Answer

A) True 
 B)False

Question 20

A service blueprint with a large number of intricate steps is considered to have a ________.

Accepted Answer

A)   high degree of divergence
B)   low degree of complexity
C)   high degree of complexity
D)   low degree of divergence

Exam 3: New Service Development

Which one of the following is not an example of a high customer contact service?

Limited discretion of service workers is a feature of the production-line approach to service design.

Basic research typically is limited to federal, university, and nonprofit organizations.

A service blueprint can be used for all but one of the following.

Ideas for new service innovations often originate with customers.

The new service development process cycle contains all but one of the following activities.

A service with a low degree of divergence allows a manager to consider all but one of the following options.

Which of the following is not an advantage of reducing the divergence of a service process?

Investment banking is a financial service that has high complexity and high divergence.

Which of the following is not a characteristic of a production-line approach to provide a service?

Which of the following is not an incremental service innovation?

Blockchain technology is based upon the cyber currency Bitcoin.

A major incentive for innovation in services is the ability to patent an idea.

A "line of interaction" also can be found on a service blueprint.

One advantage of reduced divergence is ________.

The most interactive element in the service blueprint of a fitness facility is the ________.

Check processing is an example of a process with ________.

Dry cleaning is an example of a service where isolation of the technical core would be inappropriate.

A factor that simplifies the design of service systems is the presence of the customer in the process.

A service blueprint with a large number of intricate steps is considered to have a ________.