Question 1

Which of the following benefits could be obtained from a central system for logging complaints?
A)To provide a basis for tracking all complaints to see that they have in fact been resolved
B)To serve as an early warning indicator of deterioration in one or more aspects of service
C)To indicate issues deserving more detailed decision evaluation
D)To serve as an early warning indicator of deterioration of backstage and/or frontstage systems
E)All of the above

Accepted Answer

All of the benefits listed could be obtained from a central system for logging complaints. By tracking all complaints, a company can ensure that they are properly resolved; through an early warning system, they can detect issues before they become more serious; and by analyzing the data, they can identify areas in need of improvement in both the backstage and frontstage systems.

Question 2

What is the main reason why service encounters are especially vulnerable to service breakdowns?
A)Services are intangible.
B)Services are co-produced.
C)Services cannot be stockpiled.
D)They are delivered by people whose service varies.
E)Services cannot be tested prior to purchase.

Accepted Answer

Service encounters are vulnerable to breakdowns because they are delivered by people, and human performance can vary, leading to inconsistencies in service delivery.

Question 3

Which of the following is NOT a reason why dissatisfied customers don't complain according to the SOCAP research?
A)The lack of time
B)The organisation will ask too many questions
C)The company might penalise or blame them
D)Their complaint might be resolved expeditiously
E)They don't know who to complain to

Accepted Answer

According to the SOCAP research, dissatisfied customers don't complain because of the lack of time, the organization asking too many questions, the company penalising or blaming them, and not knowing who to complain to. However, the complaint being resolved expeditiously is not a reason why dissatisfied customers do not complain.

Question 4

Sam has been waiting for his dentist appointment for more than an hour.According to the theory of stress and coping, what psychological processes are likely?
A)Sam will appraise the situation as beneficial and then cope by distancing.
B)Sam will appraise the situation as threatening his well-being and then make an effort to cope.
C)Sam will perceive triggers for negative emotions and then react with a cognitive appraisal.
D)Sam will adopt a 'Do-Feel-Think' framework for coping with stress.
E)Sam will complain to the receptionist and then appraise the response before evaluating the situation.

Accepted Answer

According to Lazarus and Folkman's theory of stress and coping, individuals appraise situations as either threatening or beneficial to their well-being. In this case, Sam is likely perceiving the situation as threatening, as he has been waiting for more than an hour. He will then make an effort to cope by engaging in problem-focused or emotion-focused coping strategies. The other options do not accurately reflect the psychological processes that are likely to occur in this situation.

Question 5

A recent study of employee attitudes to customer complaints found:
A)a majority of employees felt their firms were accessible for complaints
B)less than half felt empowered to deal with complaints
C)a little over a third has received training in dealing with complaints
D)a, b and c
E)a and c

Accepted Answer

The correct answer is D because all statements A, B, and C provide different insights into employee attitudes towards handling customer complaints, indicating that they are all findings from the study.

Question 6

Which of the following is NOT usually a customer response to a service failure?
A)Complain to the service organisation
B)Do nothing
C)Increase purchase frequency with the service organisation
D)Take some kind of overt action with a third party
E)Defect and not patronise the service organisation

Accepted Answer

When a service failure occurs, customers may choose to complain, do nothing, take overt action with a third party, or defect and not patronize the service organization. However, increasing purchase frequency with the service organization is unlikely to be a customer response to a service failure.

Question 7

According to the SOCAP research, a complainant who is dissatisfied with the outcome will tell _______ other people.
A)five
B)seven
C)eight
D)nine
E)eleven

Accepted Answer

The answer of According to the SOCAP research, a complainant...

Question 8

It has been suggested that companies should plan to disappoint customers, creating lower expectations, so they can recover and gain stronger loyalty.This has been referred to as the:
A)recovery strategy
B)recovery pre-emption
C)recovery principle
D)negative satisfaction principle
E)recovery paradox

Accepted Answer

This strategy is known as the "recovery paradox," as it involves intentionally allowing for a disappointing experience in order to exceed customer expectations with a successful recovery effort. This can lead to stronger customer loyalty and satisfaction in the long run.

Question 9

Which of the following is NOT a reason to encourage dissatisfied customers to complain?
A)Companies are given the opportunity to salvage the relationship.
B)Complaints provide free feedback.
C)Handling complaints is time consuming.
D)Complaints alert companies to deficiencies in organisational processes.
E)Effective service recovery can increase customer perceived value.

Accepted Answer

Handling complaints can be time-consuming and may require additional resources to resolve the issue, which can be a cost to the company. However, even with this consideration, it is still important to encourage dissatisfied customers to complain as it provides valuable feedback and an opportunity to retain the customer's loyalty.

Question 10

Which of the following represents a cost of service failure?
A)Negative word of mouth
B)Decreased trust and loyalty
C)Diminished customer value
D)Re-doing original service
E)All of the above

Accepted Answer

All of the given options are costs of service failure. Negative word of mouth can damage a company's reputation and lead to a decrease in new customers, decreased trust and loyalty can lead to a loss of repeat business, diminished customer value can lead to lower perceived quality and willingness to pay, and re-doing original service requires additional time and resources.

Question 11

All of the following are reasons for Asian customers NOT to complain when they face a service failure except the:
A)potential loss of face by the service employees
B)fear of negative consequences or retaliation from the service employees
C)teaching of tolerance in Asian societies where Buddhism is the predominant religion
D)concept of kreng jai which is manifested by a reluctance to disturb others, restraining one's anger or frustration, avoiding asserting one's needs or opinions, and a reluctance to voice complaints or displeasure
E)concept of jai yen (cool heart) which is manifested by a reluctance to over-react in situations that Western people might find stressful

Accepted Answer

The answer of All of the following are reasons for...

Question 12

Which of the following is NOT related to complaint behaviour?
A)The personal importance of the service
B)The cost of complaining
C)Word of mouth
D)Who is to blame for the problem
E)Demographic factors such as age and education

Accepted Answer

Word of mouth is not directly related to complaint behavior but rather a consequence of dissatisfaction that may lead to complaints. Complaint behavior focuses on the actions consumers take when they are dissatisfied, such as the importance of the service, costs associated with complaining, attribution of blame, and demographic influences on how they choose to express their dissatisfaction. Word of mouth can be a result of complaint behavior but is not a behavior itself.

Question 13

Which of the following are reasons why customer disappointment followed by service recovery may not be an appropriate strategy?
A)Service failures are often quite expensive to rectify.
B)Reliability is the most critical determinant of service quality.
C)Increased satisfaction only occurs after exceptional levels of service recovery.
D)Customers weigh their most recent experiences heavily in subsequent purchases.
E)All of the above

Accepted Answer

All the options listed are valid reasons why relying on service recovery after customer disappointment may not be an appropriate strategy. Service failures can be costly to fix (A), reliability is crucial in service quality (B), heightened satisfaction typically requires exceptional recovery efforts (C), and customers often base future decisions on their most recent experiences (D), making it risky to depend on recovery efforts after a failure.

Question 14

According to a study of consumer complaint behaviour in Australia by SOCAP (Society of Consumer Affairs Professionals), what percentage of customers who took action when they had a serious service failure were satisfied with the way the problem was resolved?
A)21%
B)34%
C)48%
D)65%
E)71%

Accepted Answer

The answer of According to a study of consumer complaint...

Question 15

There are a few options open to customers when they are unhappy with the service they received, including some form of public action.Which of the following may NOT be a public action option?
A)Take legal action to obtain redress
B)Seek redress directly from business firm
C)Complain to business or private agencies
D)Seek redress directly from government
E)Complain to government agencies

Accepted Answer

The answer of There are a few options open to...

Question 16

When consumers complain, the main purposes are to recover some economic loss and to _______.
A)conduct a cognitive appraisal
B)apply a 'Think-Feel-Do' framework
C)trigger negative emotions
D)rebuild self-esteem
E)exercise self-restraint

Accepted Answer

When consumers complain, one of the main purposes, aside from recovering some economic loss, is to rebuild self-esteem. This is because making a complaint can help the consumer feel empowered and regain a sense of control or respect that may have been lost due to the initial problem.

Question 17

All of the following are considered as 'entry points' of customer complaints EXCEPT:
A)intermediary organisations acting on behalf of the service organisation
B)suggestions placed in an on-site Suggestion Box
C)third parties such as consumer groups
D)frontline staff
E)personal assistants to senior managers

Accepted Answer

Personal assistants to senior managers are not considered as 'entry points' of customer complaints as they are not directly involved in the customer service process.

Question 18

All of the following are true EXCEPT:
A)complaints can be looked at as a stream of information that can be used to help monitor quality
B)complaints can be used as a market research input
C)a suggestion usually indicates an opportunity to move a customer from 'somewhat satisfied' to 'delighted'
D)inquiries often reveal weaknesses in providing information
E)complaints take valuable time away from selling

Accepted Answer

The statement "complaints take valuable time away from selling" is false. While it may temporarily divert attention from selling, addressing complaints can help improve customer satisfaction and ultimately lead to more sales in the long run.

Question 19

What is the main reason for Singapore Airlines to use multilingual in-flight surveys to collect complaints from their passengers?
A)Customers prefer to complain in their native languages.
B)Most of their Asian customers could not write or read English.
C)Japanese and other Asian customers are less willing to send in written complaints.
D)German and other European customers are less willing to complain if the complaint forms are not written in their native languages.
E)English native-speaker customers represent only a small percentage of their total number of passengers.

Accepted Answer

The answer of What is the main reason for Singapore...

Question 20

Which of the following may NOT be a true statement?
A)Consumers complain to recover some economic loss.
B)Customers usually seek a refund or a repeat of the service if the problem is unresolved.
C)Anecdotal evidence suggests that loyal customers are even more offended.
D)A reason for engaging in complaining behaviour is to rebuild self-esteem.
E)Consumers often complain to gain some extra favour.

Accepted Answer

While consumers may sometimes complain to gain extra favor, this statement is not always true as some consumers may simply want to express their dissatisfaction or have their issue resolved.

Quiz 14: Handling customer complaints and managing service recovery

Which of the following benefits could be obtained from a central system for logging complaints?

What is the main reason why service encounters are especially vulnerable to service breakdowns?

Which of the following is NOT a reason why dissatisfied customers don't complain according to the SOCAP research?

Sam has been waiting for his dentist appointment for more than an hour.According to the theory of stress and coping, what psychological processes are likely?

A recent study of employee attitudes to customer complaints found:

Which of the following is NOT usually a customer response to a service failure?

According to the SOCAP research, a complainant who is dissatisfied with the outcome will tell _______ other people.

It has been suggested that companies should plan to disappoint customers, creating lower expectations, so they can recover and gain stronger loyalty.This has been referred to as the:

Which of the following is NOT a reason to encourage dissatisfied customers to complain?

Which of the following represents a cost of service failure?

All of the following are reasons for Asian customers NOT to complain when they face a service failure except the:

Which of the following is NOT related to complaint behaviour?

Which of the following are reasons why customer disappointment followed by service recovery may not be an appropriate strategy?

According to a study of consumer complaint behaviour in Australia by SOCAP (Society of Consumer Affairs Professionals) , what percentage of customers who took action when they had a serious service failure were satisfied with the way the problem was resolved?

There are a few options open to customers when they are unhappy with the service they received, including some form of public action.Which of the following may NOT be a public action option?

When consumers complain, the main purposes are to recover some economic loss and to _______.

All of the following are considered as 'entry points' of customer complaints EXCEPT:

All of the following are true EXCEPT:

What is the main reason for Singapore Airlines to use multilingual in-flight surveys to collect complaints from their passengers?

Which of the following may NOT be a true statement?