Question 1

Which of the following will help a service provider overcome the limits imposed by the inseparability of services?
A) using differential pricing
B) working with larger customer groups
C) providing complementary services
D) concentrating on physical evidence and presentation
E) standardizing the service process

Accepted Answer

The answer of Which of the following will help a...

Question 2

Which of the following steps will help service firms to increase their quality control?
A) standardizing the service-performance process
B) providing complementary services to customers
C) giving personnel authority in handling situations
D) adopting differential pricing
E) cultivating nonpeak demand

Accepted Answer

Standardizing the service-performance process can help ensure consistency in service delivery and reduce variability, which can improve quality control. Providing complementary services, giving personnel authority, adopting differential pricing, and cultivating nonpeak demand may also contribute to overall quality but are not specifically focused on improving quality control.

Question 3

When a theater sells matinee movie tickets at low prices, it aims to shift some demand from the peak to the off-peak period. What is the strategy that the theater is said to be adopting?
A) It is providing complementary services.
B) It is increasing peak-time efficiency.
C) It is using linear pricing.
D) It is using differential pricing.
E) It is sharing services.

Accepted Answer

The theater is using differential pricing, which involves charging different prices for the same product or service in different segments of the market. In this case, the matinee tickets are being sold at a lower price to encourage customers to come during the off-peak period instead of the more expensive peak time.

Question 4

Cocktail lounges in restaurants are examples of ________.
A) differential pricing
B) cultivating nonpeak demand
C) complementary services
D) reservation systems
E) shared services

Accepted Answer

Cocktail lounges in restaurants are complementary services, as they are additional services provided to enhance the overall dining experience and are not the primary focus of the restaurant's business.

Question 5

A travel agency offers weekend discounts for car rentals. What can be deduced from this?
A) It is increasing peak-time efficiency.
B) It is using differential pricing.
C) It is using linear pricing.
D) It is cultivating peak demand.
E) It is providing complementary services.

Accepted Answer

Offering weekend discounts for car rentals is an example of differential pricing, as the agency is charging different prices based on the time of the week.

Question 6

Which of the following is an example of a complementary service?
A) Big department stores usually hire extra staff to handle the rush during the holiday season.
B) The Caesar Park Hotel generally caters to business customers during the week, but has now decided to promote minivacation weekends for non-business customers as well.
C) More paramedics are on hand to assist physicians during times when emergency admissions are highest.
D) AXA Bank set up automated teller machines so that its customers could avoid standing in line.
E) Chesterton College hires part-time teachers when enrollment goes up.

Accepted Answer

The answer of Which of the following is an example...

Question 7

________ refers to training and motivating employees to serve customers well.
A) External marketing
B) Promotional marketing
C) Direct marketing
D) Internal marketing
E) Interactive marketing

Accepted Answer

Internal marketing refers to the efforts made by a company to train and motivate its employees to provide excellent customer service. By investing in their own workforce, businesses can improve customer satisfaction and loyalty, leading to increased sales and profitability. This approach focuses on creating a strong internal culture and ensuring that employees are aligned with the company's values and goals, which in turn translates into better customer experiences.

Question 8

Service quality depends on who provides them, when and where, and to whom. Thus, services are highly ________.
A) inseparable
B) tangible
C) variable
D) perishable
E) intangible

Accepted Answer

Service quality is highly variable because it can differ based on who provides the service, when and where it is provided, and to whom it is provided. This variability can make it difficult to ensure consistently high levels of service quality.

Question 9

Which of the following is true regarding services?
A) Services are typically produced, stored, and then consumed.
B) Services are generally low in experience and credence qualities.
C) Service providers develop similar marketing programs for personal services and business services.
D) There is less risk associated with the purchase of services than with the purchase of goods.
E) Provider-client interaction is a special feature of services marketing.

Accepted Answer

Provider-client interaction is a special feature of services marketing. Services are often intangible and require interaction between the provider and the customer. This interaction can shape the customer's perception of the service and affect their satisfaction with the experience.

Question 10

________ refers to the normal work of preparing, pricing, distributing, and promoting the service to customers.
A) Interactive marketing
B) Internal marketing
C) External marketing
D) Promotional marketing
E) Direct marketing

Accepted Answer

External marketing refers to the various activities involved in promoting and selling services to customers. This includes developing pricing strategies, creating promotional materials, distributing the service to customers, and so on. Interactive marketing, internal marketing, promotional marketing, and direct marketing all play a role in external marketing, but are not synonymous with it.

Question 11

The fact that services are typically produced and consumed simultaneously is known as the ________ aspect of services.
A) perishability
B) intangibility
C) heterogeneity
D) inseparability
E) variability

Accepted Answer

The fact that services are typically produced and consumed simultaneously is known as the inseparability aspect of services. This means that the service provider and the customer are usually present together during the creation of the service, which can lead to a greater influence on the customer’s perception of the service quality.

Question 12

Customers today want separate prices for each service element and they also want the right to select the elements they want. The customers are said to be pressing for ________.
A) complementary services
B) perishable services
C) variable services
D) unbundled services
E) shared services

Accepted Answer

Customers pressing for separate prices for each service element and the ability to select the elements they want are showing a preference for unbundled services. This allows them to customize their experience and only pay for what they want instead of being forced to purchase a package deal with services they may not want or need.

Question 13

In order to map out the service process, the points of customer contact, and the evidence of service from the customer's point of view, service firms should develop a ________.
A) marketing plan
B) service floor plan
C) Gantt chart
D) business plan
E) service blueprint

Accepted Answer

A service blueprint is a visual representation of the service process that includes all the customer touchpoints and evidence of service from the customer's perspective. It is a helpful tool in identifying areas for improvement and ensuring consistency in service delivery. The other options listed are important planning documents but are not specifically designed for mapping out the service process and customer experience.

Question 14

Jake had an appointment at the doctor's, but couldn't make it on time because he was caught in traffic. By the time he reached the doctor's office, the doctor had already begun with the next patient. This illustrates the ________ of services.
A) variability
B) heterogeneity
C) perishability
D) intangibility
E) homogeneity

Accepted Answer

This situation highlights the perishability of services, as the doctor's time and attention for Jake's appointment were only available for a limited time and couldn't be stored or reused once that time had passed. It does not relate to variability, heterogeneity, intangibility, or homogeneity.

Question 15

________ describes the employees' skill in serving the client.
A) External marketing
B) Internal marketing
C) Promotional marketing
D) Direct marketing
E) Interactive marketing

Accepted Answer

Interactive marketing refers to the employees' skill in serving the client, focusing on the interaction between employees and customers.

Question 16

Walmart has decided to hire extra clerks during the holiday season. It is said to be ________.
A) matching its supply with the existing demand
B) generating non-peak demand
C) increasing its customer participation
D) sharing its services
E) facilitating for its future expansion

Accepted Answer

Walmart is matching its supply with the existing demand by hiring extra clerks during the holiday season.

Question 17

Often, a service problem arises from a customer's lack of understanding or ineptitude. Which of the following can help to minimize customer failures?
A) giving customers exclusive primary service packages
B) redesigning processes to simplify service encounters
C) using differential pricing and shared services
D) minimizing service intangibility
E) working with more customers at the same time

Accepted Answer

Redesigning processes to simplify service encounters can help to minimize customer failures by making the service more accessible and easy to understand for all customers. Giving exclusive primary service packages may not necessarily address the root cause of the customer's lack of understanding or ineptitude. Differential pricing and shared services may not be relevant to the specific situation, and minimizing service intangibility may not be feasible for all types of services. Working with more customers at the same time could actually increase the likelihood of customer failures.

Question 18

In which of the following cases is a service provider trying to increase non-peak demand?
A) A fine dining restaurant is promoting a breakfast service in addition to its popular lunch and dinner options.
B) An upscale restaurant has a cocktail lounge where customers can wait until a table is ready.
C) AXA Bank set up automated teller machines so that its customers could avoid standing in line.
D) Chesterton College hired part-time teachers as enrollment increased significantly.
E) Big department stores usually hire extra staff to handle the rush during the holiday season.

Accepted Answer

By promoting a breakfast service in addition to its popular lunch and dinner options, the fine dining restaurant is trying to increase demand during the non-peak morning hours.

Question 19

The Caesar Park Hotel generally caters to business customers during the week, but has now decided to promote minivacation weekends for non-business customers as well. What is the Caesar Park Hotel trying to do?
A) It is implementing premium pricing.
B) It is trying to cultivate nonpeak demand.
C) It is promoting complementary services.
D) It is putting reservation systems in place.
E) It is implementing differential pricing.

Accepted Answer

The Caesar Park Hotel is trying to increase non-business customers during weekends, which is a nonpeak demand period. This indicates that they are trying to cultivate nonpeak demand.

Question 20

Kaya, a chain of skin clinics, requests each new visitor to fill up their own details on a printed form. This is a step in ________.
A) increasing its peak-time efficiency
B) creating nonpeak demand
C) increasing consumer participation
D) sharing its services
E) facilitating its future expansions

Accepted Answer

Requesting visitors to fill up their own details on a printed form is a step in increasing consumer participation, as it allows visitors to actively engage with the brand and take ownership of their experience at Kaya skin clinics.

Quiz 13: Designing and Managing Services

Which of the following will help a service provider overcome the limits imposed by the inseparability of services?

Which of the following steps will help service firms to increase their quality control?

When a theater sells matinee movie tickets at low prices, it aims to shift some demand from the peak to the off-peak period. What is the strategy that the theater is said to be adopting?

Cocktail lounges in restaurants are examples of ________.

A travel agency offers weekend discounts for car rentals. What can be deduced from this?

Which of the following is an example of a complementary service?

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

Service quality depends on who provides them, when and where, and to whom. Thus, services are highly ________.

Which of the following is true regarding services?

________ refers to the normal work of preparing, pricing, distributing, and promoting the service to customers.

The fact that services are typically produced and consumed simultaneously is known as the ________ aspect of services.

Customers today want separate prices for each service element and they also want the right to select the elements they want. The customers are said to be pressing for ________.

In order to map out the service process, the points of customer contact, and the evidence of service from the customer's point of view, service firms should develop a ________.

Jake had an appointment at the doctor's, but couldn't make it on time because he was caught in traffic. By the time he reached the doctor's office, the doctor had already begun with the next patient. This illustrates the ________ of services.

________ describes the employees' skill in serving the client.

Walmart has decided to hire extra clerks during the holiday season. It is said to be ________.

Often, a service problem arises from a customer's lack of understanding or ineptitude. Which of the following can help to minimize customer failures?

In which of the following cases is a service provider trying to increase non-peak demand?

The Caesar Park Hotel generally caters to business customers during the week, but has now decided to promote minivacation weekends for non-business customers as well. What is the Caesar Park Hotel trying to do?

Kaya, a chain of skin clinics, requests each new visitor to fill up their own details on a printed form. This is a step in ________.