Deck 12: The Marketing of Services

Question 1

Service products that are totally intangible:

A)do not involve customer participation in a significant way.
B)can be transported and stored.
C)are generally nonperishable.
D)are exchanged directly from producer to user.

Answer 1

D

Question 2

In terms of uniformity,which of the following is a difference between services and goods?

A)Owing to customer non-participation,services are often linear,while goods are non-linear.
B)Services often involve a short-term,impersonal relationship between buyer and seller,while goods often involve a personal,long-term relationship.
C)Because of high involvement on the part of a buyer,services tend to be unique,with the quality likely to vary,while the quality and variance from standards of goods can be corrected before purchase.
D)Services can be inventoried uniformly,while goods face stockouts due to their heterogeneous nature.

Answer 2

C

Question 3

Which of the following terms refers to activities performed by sellers and others that accompany the sale of a product and that aid in its exchange or its utilization?

A)Service products
B)Raw material extractions
C)Services
D)Manufacturing activities

Answer 3

C

Question 4

Which of the following is an example of a mixed goods-service continuum?

A)Golf clubs
B)An air flight
C)Taxi rides
D)A suit with alterations

Question 5

According to the American Marketing Association's definition of services,which of the following is a typical example of a service product?

A)Warranty on a laptop
B)Health insurance
C)Guarantee on a television
D)Gift wrapping supplies

Question 6

When a service is produced and marketed simultaneously,it is representative of the unique characteristic of a service that relates to its _____.

A)intangibility
B)perishability
C)inseparability
D)uniformity

Question 7

Which of the following is the most basic and obvious difference between goods and services?

A)Perishability
B)Intangibility
C)Reparability
D)Palpability

Question 8

Adrian is served an exotic meal while traveling with Valatia Airlines.Adrian is pleasantly surprised by the quality of the meal and is a very happy customer.He is extremely satisfied with the exquisite customer service.In addition,the airlines also offered a special rebate on his next flight with Valatia Airlines.This is an example of a(n):

A)purely tangible service.
B)purely intangible service.
C)goods-service continuum.
D)inseparable service.

Question 9

Depending on the type of service,the _____ factor may dictate use of direct channels because of the need for personal contact between a buyer and a seller.

A)perishability
B)intangibility
C)uniformity
D)inseparability

Question 10

In the context of the inseparability characteristic of a service,which of the following explains why a marketer is mainly concerned with the creation of time and place utility?

A)Most services are often produced and marketed simultaneously.
B)The service encounter is distanced from the end benefit achieved.
C)Services cannot appeal to a buyer's sense of touch,taste,smell,sight,or hearing.
D)The buyer is guaranteed the ownership of the service that can be used later or given to others.

Question 11

Which of the following is a correct statement regarding the inseparability aspect of a service?

A)Inseparable services can be inventoried.
B)Indirect channels of the promotion mix are more suitable to market services that are inseparable.
C)Inseparability has an implication on issues dealing with the selection of channels of distribution.
D)Inseparability occurs when goods and services are produced at one stage and marketed at another stage.

Question 12

In the context of marketing,services differ from goods in that services:

A)can only be used at the time that they are offered.
B)can be placed in an inventory for use at another time.
C)lack any kind of customer involvement in production.
D)often involve an impersonal short-term client relationship.

Question 13

Which of the following is a correct statement regarding the characteristic of inseparability of services?

A)Inseparable services cannot be produced and marketed simultaneously.
B)Direct sale is the only feasible channel of distribution for inseparable services.
C)When the buyer has a tangible representation of a service,the problem of inseparability occurs.
D)Inseparable services can be inventoried.

Question 14

Which of the following is true of inseparable services?

A)Inseparable services can be distributed only by third parties.
B)The service quality of inseparable services is completely standardized due to the ability to completely mechanize the service encounter.
C)Inseparable services cannot be produced and marketed simultaneously.
D)The main concern of a marketer of inseparable services is usually the creation of time and place utility.

Question 15

Which of the following is an activity performed by sellers and others that accompany the sale of a product and that aid in its exchange or its utilization?

A)Securing a bank loan
B)Offering a home security plan
C)Seeking a health insurance cover
D)Availing warranty on computer equipment

Question 16

In terms of perishability,which of the following is a difference between services and goods?

A)Services often can be separated from the person providing them,while goods cannot be usually sold by different people.
B)Services generally solicit minimal customer interaction,while goods involve significant levels of customer interaction.
C)Services can be used only at the time they are offered,while goods can be placed in an inventory.
D)Services can be stored and transported across geographical regions,while goods cannot be inventoried for use at another time.

Question 17

Harry took a series of classes to learn how to play the clarinet and the saxophone from a music school.When he completed the course,he was given a certificate of completion to:

A)emphasize a relationship-marketing strategy.
B)serve as a tangible reminder of the course and overcome the inseparability aspect of services.
C)make the course seem more homogenous with other learning experiences.
D)ensure that the supply chain was vertically integrated.

Question 18

Which of the following is true of service products?

A)They come into existence at the same time they are bought and consumed.
B)They generally do not involve customer participation in a significant way.
C)They are composed of tangible elements that are separable.
D)They tend to have different titles and ownership transfers.

Question 19

According to the goods-service continuum,which of the following is entirely intangible?

A)An oil change
B)A taxi ride
C)An air flight with lunch
D)A golf club

Question 20

Service products are often difficult to identify since they:

A)can be sold in the sense of ownership transfer.
B)are bought and consumed at the same time.
C)are composed of tangible elements that cannot be easily transferred.
D)cannot be exchanged directly from producer to user.

Question 21

Early-bird offers and weekend discounts that are used to redistribute demand are typical examples of _____.

A)upscale pricing
B)off-peak pricing
C)every-day-low pricing
D)odd pricing

Question 22

Among the determinants of service quality,tangibles generally refer to:

A)non-perishable goods.
B)the physical evidence of the service.
C)the cyclical stability of the service.
D)demographic factors.

Question 23

Off-peak pricing is generally used to:

A)overcome problems associated with the homogeneity of services.
B)deal with the fluctuating demand for services.
C)create service perishability and fluctuating demand.
D)separate the service provider from a service.

Question 24

Which of the following is an example of a client relationship?

A)Leasor-leasee
B)Telecaller-consumer
C)Salesperson-customer
D)Broker-investor

Question 25

Which of the following is true of service quality?

A)Service quality is often measured against standards.
B)Service quality is not labor intensive and is typically uniform in nature.
C)Opinions on quality of services do not change in the face of choices.
D)Customers determine the value of service quality in relation to their particular needs.

Question 26

Jeremy owns a small barbershop in his hometown.In order to keep up with the services offered by the newly opened hairstyling salon in the town,he orders up-to-date hairstyling equipment.According to this scenario,which determinant of service quality is Jeremy most aware of?

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

Question 27

In a client relationship,_____.

A)the relationship is typically not of an ongoing nature
B)a buyer is typically an agent of a third party or association
C)a buyer views a seller as someone who has knowledge that has value
D)a seller abides by the advice offered by a buyer

Question 28

The airplanes used by FlyAir are painted a bright blue,and a uniform white stripe runs along the length of the plane.Plush leather seating and gourmet food are part of the reason why FlyAir has been so successful in recent years.Based on these characteristics,the company represents the _____ aspect of service quality.

A)responsiveness
B)tangible
C)assurance
D)empathy

Question 29

In the context of the determinants of service quality,which of the following most likely refers to the consistency and dependability of a service performance?

A)Tangibles
B)Empathy
C)Reliability
D)Adaptability

Question 30

Which of the following explains the reason why defining what constitutes good service quality is difficult?

A)Services are not labor intensive.
B)Services are examined objectively.
C)Services are frequently produced in the presence of a customer.
D)Service quality is measured against standards.

Question 31

Zokoi Entertainment Ltd. ,an international multiplex corporation,charges different prices for movie tickets on different days.The tickets are priced relatively lower on week days and are more expensive on weekends as they expect more crowds during the weekends.This implies that the corporation uses an _____ strategy.

A)upscale pricing
B)off-peak pricing
C)EDLP pricing
D)odd pricing

Question 32

Which of the following is an example of an off-peak pricing strategy?

A)An apparel brand charges prices containing odd numbers.
B)A computer manufacturer offers select software and games free of cost.
C)A music band sells its songs online by asking buyers to pay any desired amount for a given commodity.
D)A telecommunications company charges different tariffs at different times.

Question 33

Which of the following is true of a client relationship?

A)In a client relationship,a buyer views a seller as someone who has knowledge that is of value.
B)In a client relationship,a buyer does not abide by the advice offered or suggestions provided by a seller.
C)It usually cannot be of an ongoing nature.
D)High-quality service delivery by a professional leads to absolutely satisfied customers.

Question 34

A physician-patient relationship is categorized as a _____ relationship.

A)dealer
B)client
C)supplier
D)customer

Question 35

The different prices service marketers charge during different times or days in order to stimulate demand during slow periods and hopefully,smooth out demand for the service is known as:

A)upscale pricing.
B)off-peak pricing.
C)every-day-low pricing.
D)odd pricing.

Question 36

A customer perceives the level of service quality as being the function of the magnitude and direction of the gap between:

A)product design and product features.
B)traditional service marketing and integrated service marketing.
C)expected service and perceived service.
D)economies of scale and cost of production.

Question 37

Owing to his keen interest in cooking,Adam enrolled for a membership at the Delicacee Culinary Association.He was issued a membership card that contained details of the terms of membership along with the dates of validity and renewal.Adam was entitled to participate in the various programs organized by the association.Which of the following statements is true of the relationship between Adam and the institution?

A)The card would serve as a representation of Adam's preferred cuisines.
B)The card would give tangible proof that Adam had definitely learned the art of cooking.
C)Adam's membership card will get him a job as a chef in a reputable restaurant.
D)The card was tangible proof that Adam belonged to the culinary association.

Question 38

Fiona uses her credit card to purchase groceries at the local supermarket.It can be said that every time she swipes her card at the supermarket with every purchase,she is availing a service that is produced by the manufacturer for her consumption.In this scenario,every instance of the card being used helps overcome the problem of _____.

A)inseparability
B)perishability
C)tangibility
D)fluctuation

Question 39

Which of the following explains the reason why the quality of services can vary more than the quality of goods?

A)Unlike that of products,producers of services have procedures to prevent,identify,and correct defects.
B)Most services are human performances and are often customized to the needs of a buyer.
C)Producers of goods typically customize products to the needs of a buyer.
D)Unlike services,customers are more likely to purchase defective products.

Question 40

Two major marketing challenges that professionals in client relationships face are:

A)fear or hostility and dissatisfied customers.
B)unfamiliar territory and lack of funds.
C)price discrimination and promotional pricing.
D)deceptive pricing and high demand.

Question 41

_____ refers to a service provider's efforts to understand a customer's needs and then to provide,as best as possible,individualized service delivery.

A)Assurance
B)Intangibility
C)Empathy
D)Quality

Question 42

A bank offering a guarantee of same-day loan processing is a typical example of which of the following determinants of service quality?

A)Intangibility
B)Assurance
C)Sympathy
D)Empathy

Question 43

Joshua is an electrician who is known for solving complex electrical issues consistently in households,automobiles,small commercial centers,and so on.He is punctual,and customers can always reach him anytime of the day.Based on these characteristics,which of the following determinants of service quality is Joshua exhibiting?

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

Question 44

Employees of the WiseRumbles Library maintain a great relationship with their customers.They recommend new books and magazines to customers based on customers' tastes and preferences and the books previously borrowed by them.They keep track of customers' birthdays and anniversaries in order to send birthday cards and gift vouchers.This shows that employees at WiseRumbles Library are displaying _____.

A)assurance
B)intangibility
C)uniformity
D)empathy

Question 45

Which of the following service qualities includes the willingness or readiness of employees or professionals to provide service?

A)Sympathy
B)Responsiveness
C)Empathy
D)Quality

Question 46

Which of the following refers to the knowledge and competence of service providers and the ability to convey trust and confidence?

A)Sympathy
B)Responsiveness
C)Empathy
D)Assurance

Question 47

Lana bought a microwave oven from Empress Inc.When she reached home,she realized that there was a defect in the piece.Subsequently,she returned to the store and made a complaint to the sales manager.He noted the complaint and apologized for the inconvenience.He also assured her that he would replace her product at the earliest.Based on this evidence,it can be concluded that the sales manager possessed the service quality of _____.

A)empathy
B)tangibility
C)uniformity
D)responsiveness

Question 48

Which of the following refers to responsiveness?

A)The willingness or readiness of employees or professionals to provide service
B)The consistency and dependability of a service performance
C)The physical evidence of a service
D)The knowledge and competence of service providers and the ability to convey trust and confidence

Question 49

Research on market leaders' CSMs found that:

A)customer satisfaction was incorporated into the strategic focus of a company via a mission statement.
B)results of all research were always made available to customers.
C)research was not performed on a continual basis.
D)the human resource department was primarily responsible for designing CSM programs.

Question 50

How would the owner of a restaurant measure the quality of service provided by his employees?

A)By conducting cost-benefit analysis
B)By creating a workflow analysis chart
C)By measuring customer satisfaction
D)By conducting superficial analysis

Question 51

According to research on market leaders' customer satisfaction measurements (CSMs),which of the following was determined to be a common aspect?

A)The customer satisfaction measurement programs and questionnaires are designed by customers.
B)The customer satisfaction measurement is handled by top management and the marketing department of an organization.
C)The customer satisfaction measurement includes evaluation of a company's satisfaction performance and excludes competitors' satisfaction performance.
D)Results of all research related to customer satisfaction measurement are made available to customers but not necessarily to employees.

Question 52

Based on research on market leaders' customer satisfaction programs,which of the following is true of the various aspects of customer satisfaction measurement (CSM)of an organization?

A)There was a commitment to increasing service quality and customer satisfaction from employees at the top levels of the organization.
B)Top management was primarily responsible for designing CSM programs and questionnaires.
C)Results of all research related to customer measurement were made available to customers but not necessarily to employees.
D)Evaluations related to customer measurement included both the company's and competitors' satisfaction performance.

Question 53

As a determinant of service quality,reliability involves the:

A)consistency and dependability of the service performance.
B)physical evidence of the service.
C)levels of creativity of the services provided.
D)knowledge and competence of service providers and the ability to convey trust and confidence.

Question 54

When an employee at Fun Bay Resorts hears a customer complain,he or she is authorized to record the issue and take the necessary actions to resolve the issue.This strategic reaction to customer complaints shows Fun Bay Resorts' emphasis on _____ as a determinant of service quality.

A)responsiveness
B)tangibility
C)reliability
D)empathy

Question 55

Which of the following is an example of assurance as a determinant of service quality?

A)A doctor is highly trained in a particular specialty.
B)Employees are always visible in a hotel lobby dusting or otherwise cleaning up.
C)A college professor returns a student's call on the same day.
D)Flight attendants on a customer's regular route learn what type of beverages the customer drinks and what magazines the customer reads.

Question 56

Carla,the owner of a retail meat store,visited the facilities of a meat-processing warehouse to assess the quality and service of the meat and related processes.When she expressed a desire to enter their cold storage,she was pleasantly surprised to be offered warm clothing,as the employees realized she would feel excessively cold in her formal wear.Also,the warehouse was willing to offer customized meat cuts.Which service quality determinant is prominent in this scenario?

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

Question 57

Malcolm purchased health insurance from Healwell Insurance Corp.as he was assured that he would be able to claim the expense incurred on his treatment in the future.With this guarantee,the insurance corporation was able to win the trust and confidence.In this scenario,which of the following determinants of service quality is the company aware of?

A)Intangibility
B)Assurance
C)Profitability
D)Apathy

Question 58

Which of the following determinants of service quality encompasses a provider's name and reputation;possession of necessary skills;and trustworthiness,believability,and honesty?

A)Sympathy
B)Responsiveness
C)Assurance
D)Empathy

Question 59

Elaine decided to sign up for a particular instructor's violin class based on his reputation of being an excellent teacher.The instructor guaranteed that his students would learn to play the violin in the 3-month course that he offered.Which of the following service qualities are represented in this scenario?

A)Assurance
B)Intangibility
C)Sympathy
D)Empathy

Question 60

Understanding the expectations and requirements of a customer and determining how well a company and its major competitors are succeeding in satisfying these expectations and requirements are the key issues of:

A)troubleshooting technique measurement.
B)interim customer management.
C)customer satisfaction measurement.
D)job satisfaction measurement.

Question 61

As opposed to clients,customers:

A)must have names.
B)are served by the first person available.
C)have a strong relationship with the service provider.
D)are served on an individual basis.

Question 62

Grassmeadow Inc. ,a hospitality management firm,considered as many as thirty candidates for each housekeeping or front-desk position in its organization.It clearly defined the skills the service person must bring to the job as well.On which of the following critical components of internal marketing was Grassmeadow Inc.focusing?

A)An emphasis on teaching employees to have good attitudes
B)A clear,concrete message conveying a particular service strategy
C)A careful selection process in hiring frontline employees
D)An energetic follow-through process

Question 63

Training that teaches employees to have good attitudes focuses on:

A)specific social techniques,such as eye contact,smiling,and tone of voice.
B)incentives necessary to give the employees the capability and willingness to provide quality service.
C)demonstrating the behavior that managers intend to reward employees for performing.
D)clearly defining the skills a service person must bring to the job.

Question 64

_____ is defined as the continual process by which managers actively encourage,stimulate,and support employee commitment to an organization and its customers.

A)Mobile retailing
B)Forward integration
C)Internal marketing
D)Promotional allowance

Question 65

TradeEx Incorporation,which deals with financial services,employs individuals and trains them intensively for a month.The training sessions include enhancing their knowledge of various financial services in the market,the changing trends of the stock market,and the fast-moving business environment.The employees are also trained on how to reach their sales targets.These steps taken by the firm in training new employees imply that the firm focuses on:

A)teaching employees to have good attitudes.
B)a careful selection process in hiring employees.
C)an energetic follow-through process.
D)significant modeling by managers.

Question 66

Which of the following critical components of internal marketing would typically help people who deliver service to know how their work fits in the broader scheme of business operations?

A)An emphasis on teaching employees to have good attitudes
B)An energetic follow-through process
C)A careful selection process in hiring frontline employees
D)A clear,concrete message conveying a particular service strategy

Question 67

Sunset Hotels provides soft skills training to its employees by imparting lessons on basic communication skills,housekeeping techniques,body language,and basic standards of dressing.In this case,on which of the following critical components of internal marketing is Sunset Hotels focusing?

A)Significant modeling by managers
B)Careful selection process in hiring employees
C)Energetic follow-through process
D)Emphasis on teaching employees to have good attitudes

Question 68

The manager of a trucking company that uses the slogan "Our people are our driving force" most likely recognizes the importance of its personnel in providing quality customer service and is practicing:

A)benchmarking.
B)assurance.
C)customer satisfaction measurement.
D)internal marketing.

Question 69

_____ research can yield a wealth of strategic information about customers,a sponsoring company,and competitors.

A)Customer demographics
B)Customer satisfaction
C)Customer status
D)Customer profile

Question 70

Significant modeling by managers primarily requires them to perform the task of:

A)emphasizing on teaching employees to have good attitudes.
B)demonstrating the behavior that they intend to reward employees for performing.
C)defining the skills a service person must bring to a job.
D)adopting a careful selection process in hiring frontline employees.

Question 71

After analyzing current trends in the market,Stage Cinemas,a multiplex,increased its number of movie screens to keep up with the increasing demand and population growth.However,due to the superficial nature of its analysis,it failed to focus on the needs,tastes,and preferences of the public.This indicates that the firm had:

A)a lack of strong competition.
B)no obsolescence.
C)noncreative management.
D)a limited view of marketing.

Question 72

In the context of relationship marketing,the notion of clients differs from customers in that clients:

A)are statistics with their needs being reflected in market summaries.
B)are served as part of a large mass of people.
C)have no strong reason to feel loyalty to a service provider.
D)are served by a trained professional who has been assigned to them.

Question 73

In the context of marketing of services,which of the following is most likely responsible for the lack of innovative marketing by service marketers?

A)Strong foreign competition
B)Limited view of marketing
C)Lack of internal marketing
D)Treating customers as statistics

Question 74

Which of the following critical components requires management to clearly define the skills a service person must bring to a job?

A)Energetic follow-through process by the service person
B)Significant modeling by managers on the service person
C)Careful selection process in hiring frontline employees
D)Emphasis on imbibing positive attitudes among employees

Question 75

Which of the following is an example of internal marketing conducted by a chain of dog kennels that boards and grooms pets?

A)A publicity article in the neighborhood newspaper describing the exclusive training received by the kennel's employees
B)An e-mail to one of the employees by the manager praising him for finding and returning a customer's dog collar
C)A newspaper advertisement showing a picture of happy dogs staying at the kennel
D)A tour of the facilities available at the kennel targeted at elementary school children

Question 76

Which of the following is visible in an energetic follow-through process?

A)Managers providing training that focuses on specific social techniques,such as eye contact,smiling,tone of voice,and standards of dress
B)Managers providing training,support,and incentives necessary to give employees the capability and willingness to provide quality service
C)Managers demonstrating the behavior that they intend to reward employees for performing
D)Managers clearly defining the skills a service person must bring to a job

Question 77

Which of the following is a difference between customers and clients in the context of relationship marketing?

A)Customers have identities and names,while clients do not.
B)Customers have no strong reason to feel allegiance to a service provider,while clients often have a strong relationship with the service provider.
C)Customers are individual entities,while clients are reflected in market summaries as mere numbers and data entries.
D)Customers are served on an individual basis,while clients are mass target groups.

Question 78

The CEO of Jaquar Consultancy Corp.informs Amy's supervisor that she has performed extremely well in her last project.Amy's supervisor sends an e-mail to the entire team about the good review received from the CEO.Jaquar is known for its regular performance-driven incentives that it awards to employees performing exceptionally well.This implies that Jaquar Consultancy Corp.operates by implementing:

A)internal marketing.
B)empathy marketing.
C)customer profiling.
D)benchmarking.

Question 79

Which of the following is responsible for making the comprehension of service marketing difficult?

A)Lack of demand for services
B)Excessive marketing expertise
C)Factors of intangibility and inseparability
D)Obsolescence of services

Question 80

According to research on market leaders' customer satisfaction measurements (CSMs),which of the following research methods was commonly used?

A)Focus groups
B)Choice modeling
C)Fieldwork
D)Desk research