Question 1

Which of the following is true regarding the communication gap?

Accepted Answer

The communication gap refers to the difference between what a company promises in its communications and what it actually delivers. Managing customer expectations effectively can help reduce this gap by ensuring that promises made align with the actual service provided.

Question 2

Tom works as flight attendant and puts in long hours serving unhappy customers.The management, noticing his efforts, recommends him for the Star of the Year Award.This reward strategy will help in reducing the gap.

Accepted Answer

The answer of Tom works as flight attendant and puts...

Question 3

The hotel scored high on the responsiveness dimension, indicating that the customers are happy with the:

Accepted Answer

Responsiveness refers to the promptness and willingness of employees to help customers, which aligns with compliance and prompt service.

Question 4

A fast-food outlet provides home delivery.When Chris calls to place an order, the restaurant informs him that delivery of the order will be delayed because of a delivery staff shortage.This strategy helps them close the gap in their services.

Accepted Answer

The delay in delivery due to a staff shortage is a delivery issue, so informing Chris helps manage expectations and address the delivery gap.

Question 5

Joanne bought a gift for her friend's birthday from an online website.The service provider failed to deliver the gift on the day it had promised.The service provider provided coupons to Joanne a week later, which she could use to make more purchases online from them.The service recovery strategy that the service provider used in this instance was:

Accepted Answer

The service provider attempted to find a fair solution by offering coupons as compensation for the failure to deliver the gift on time.

Question 6

Which of the following service gaps did Mark and Julia experience when they visited the Valley Resort?

Accepted Answer

Mark and Julia experienced a delivery gap when they visited the Valley Resort. A delivery gap occurs when the service provider fails to meet the customer's expectations. In this case, Mark and Julia expected the resort to provide a relaxing and enjoyable experience, but they were disappointed by the poor service they received.

Question 7

Which of the following strategies will help a firm to reduce the standards gap?

Accepted Answer

Setting specific service standards based on customers' expectations helps align the firm's service delivery with what customers expect, thereby reducing the standards gap.

Question 8

Which of the following strategies employed by the resort allowed Jennifer to compensate for the delivery gap?

Accepted Answer

Empowering employees allows them to make decisions and take actions that can immediately address and compensate for any service delivery gaps.

Question 9

Jimmy's car garage provides predictably great service to its customers by providing service training to employees by using a well-defined process.The strategy used by the garage to reduce the standards gap is:

Accepted Answer

The garage reduces the standards gap by achieving service goals through training, ensuring employees are well-equipped to meet service standards.

Question 10

A local grocery store sets up an automatic billing counter for customers who buy fewer than five items so that they need not wait long to check out.This has made the billing process efficient and customers are very satisfied.This strategy reduces the gap in their services.

Accepted Answer

The strategy improves the delivery of services by making the billing process more efficient and reducing wait times for customers.

Question 11

A customer's perception of the benefits he or she received compared with the costs that resulted from a service failure is called:

Accepted Answer

Distributive fairness refers to the customer's perception of the benefits received compared to the costs incurred due to a service failure.

Question 12

The CEO of a services company routinely attends the team meetings of the company.He understands customer problems and provides solutions based on his experience and by following a standard well-defined process.This works as a cue to the employees to emulate the CEO in the way problems are handled.Which of the following strategies is being exemplified in this scenario?

Accepted Answer

The CEO's actions demonstrate a commitment to service quality by directly engaging with customer issues and setting an example for employees to follow, ensuring that the company maintains high standards in service delivery.

Question 13

Kathy plans a weekend getaway to a natural lake resort known for its migratory birds.On arrival, she learns that the hotel is overbooked.Reception places Kathy in lower-priced shared accommodation instead of the studio room which she had booked.Kathy decides not to book with the resort again.The service provider was unable to recover the service failure because:

Accepted Answer

The service provider failed to provide adequate compensation to Kathy for the inconvenience caused by the overbooking and change in accommodation, leading to her decision not to book with the resort again.

Question 14

Jennifer compensated for the service failure by:

Accepted Answer

Jennifer compensated for the service failure by providing adequate compensation for the inconvenience. This not only shows the resort's concern for the guest's inconvenience but also helps to build trust and loyalty with the guest. The other choices are also important in addressing the issue, but providing compensation is the most direct way to compensate for a problem caused.

Question 15

A company that specializes in water purifiers recently installed a system at John's house.John realizes that the system is faulty because water starts leaking within a few days of the installation.John calls the company's service team, which goes over the problem in detail with him and then sends service personnel to John's house to fix the problem.In this scenario, the company tried to resolve the issue by:

Accepted Answer

The answer of A company that specializes in water purifiers...

Question 16

An event management company specializing in wedding receptions and birthday parties clarifies with clients the services it can actually provide and the number of guests it can handle before taking on an assignment.The company is trying to reduce the communication gap by:

Accepted Answer

The company is trying to reduce the communication gap by promising only what it can deliver.

Question 17

A local utilities company has setup an online mechanism to pay bills which provides information to customers online so that the customers do not have to drive down to the local office.This service has improved customer satisfaction immensely and encouraged timely payment and resolution of issues.This strategy helps to reduce the company's:

Accepted Answer

The answer of A local utilities company has setup an...

Question 18

This evaluation of service quality by defining the zone of tolerance will help the hotel to reduce gap.

Accepted Answer

The answer of This evaluation of service quality by defining...

Question 19

A daycare at a technology park in Saskatoon enables parents to watch their kids via a CCTV camera by streaming the video via a secure link.This technology helps parents make sure that their kids are comfortable at the daycare.This resource adds to the daycare's services.

Accepted Answer

Tangibility refers to the physical form of a service. In this case, the CCTV camera and the secure link are tangible resources that add to the daycare's services.

Question 20

Most customers allotted a high importance score for the reliability dimension.This shows that most of the customers give importance to:

Accepted Answer

Reliability in service quality refers to the ability to perform the promised service dependably and accurately, which aligns with providing good service consistently.

Quiz 10: Transacting Value Pricing Concepts and Strategies : Establishing Value