Many services-marketing experts suggest that creating and delivering new services is much more difficult than creating new tangible products and new services differ from product innovations in several important ways. Which of the following best illustrates these differences?
A)most service companies focus on continuous innovation
B)the new-service development process is often easy to map out for the service company and often easy for the service customer to observe
C)most service companies focus on creating only incremental improvements
D)the new-service development process is difficult to map out for the service company and often difficult for the service customer to observe

Question

Quizplus · Accepted Answer

Unlike tangible products, which can often be prototyped and tested in a controlled environment, services are typically consumed in real-time and are harder to prototype and test. This makes the new-service development process difficult to map out for the service company and often difficult for the service customer to observe. Additionally, service innovation often involves intangible elements such as the process, delivery, and customer experience, which are harder to quantify and measure than the physical attributes of a product. Therefore, service companies face unique challenges in creating and delivering new services compared to tangible product manufacturers.

Many Services-Marketing Experts Suggest That Creating and Delivering New Services