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Service firms can manage their physical environment to influence customers' perceptions through


A) service delivery management.
B) relationship management.
C) customer experience management.
D) exposure management.
E) impression management.

F) A) and D)
G) D) and E)

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With respect to social marketing, nonprofit organizations should do all of the following except


A) use social media that allow the use of digital photos, video, and gaming skills.
B) allow people to feel like they are doing something.
C) restrict the sharing of information, such as allowing people to share personal stories, due to privacy concerns.
D) have metrics to assess the effectiveness of its social media activities.
E) understand what motivates people to take up causes.

F) A) and E)
G) D) and E)

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What do a security guard, a plumber, and a management consultant have in common?


A) They are all tangible services.
B) They do not have problems with idle production capacity.
C) They are all equipment-based services.
D) They are all people-based services.
E) They never use off-peak pricing.

F) A) and B)
G) B) and E)

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A(n) __________ is very important to the process aspect of services because it helps identify steps that will ultimately lead to better service creation and delivery processes.


A) customer contact audit
B) internal marketing review
C) tangibility gap analysis
D) service continuum
E) consumer experience audit

F) C) and D)
G) A) and E)

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A

Before moving out of their apartment, Kelly and Doug decided to have their carpets cleaned by Stanley Steemer, a company specializing in professional carpet cleaning. The carpet cleaners arrived on time, cleaned the carpets, and drove away in their bright yellow van; only then did the couple see that they did a good job. Kelly and Doug were unable to judge the service before they bought it, which illustrates the __________ of services.


A) inconsistency
B) inseparability
C) inventory costs
D) intangibility
E) interdependence

F) A) and D)
G) C) and E)

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Ron had a craving for sushi so he searched yellowpages.com for the name of a restaurant in his vicinity that serves this type of food. When he arrived at his destination, he was impressed with the menu posted outside the door and decided to go in. He was greeted with a smile by a hostess and then immediately seated at a well-appointed table where he was given a warm cloth for his hands. A waiter beautifully presented the food, the rice was the perfect texture and temperature, and the fish was fresh and delicious. Halfway thought the meal, he excused himself to go to the restroom. It was clean, but the paper towel dispenser was empty. He returned to his table, finished his meal, and paid his check. The hostess said good-bye and asked him to return. Which of the following statements about this scenario is most accurate?


A) Reading the menu posted outside the door was Ron's first point of interaction in the customer contact audit because if he hadn't liked the selections, he wouldn't have gone into the restaurant.
B) Being greeted by the hostess was the first point of interaction in the customer contact audit because it was the first "human" encounter with the actual service provider-the restaurant's employee.
C) The first point of interaction in the customer contact audit wasn't written, it was implied. The real first point in the customer contact audit should have been between Ron and the waiter, not Ron and the hostess. The waiter is wholly responsible for the service quality delivered.
D) The lack of paper towels in the restroom was the first point of interaction in the customer contact audit because it was the first time his expectations weren't met.
E) The yellowpages.com ad, the menu on the door, the hostess's greeting, the waiter, the quality and presentation of food, and even the restroom were all important service encounters.

F) C) and E)
G) C) and D)

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The concept of internal marketing is based on the notion that a service organization must focus on its __________ before successful programs can be directed at customers.


A) competitors
B) prospects
C) shareholders
D) employees
E) suppliers

F) C) and E)
G) A) and B)

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Services such as restaurants and child care are evaluated on __________ properties.


A) search
B) form
C) experience
D) credence
E) performance

F) B) and C)
G) A) and E)

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Andrea Arenas is the owner of 2 Places at 1 Time, a concierge company. She and her staff of 60 perform everyday services such as walking the dog, picking up cleaning, waiting for the repairman, and going to the post office for people who are too busy to perform these tasks. She has often been hired by major corporations to perform services for their harried executives, and now many of her major clients are providing perks like her service for their employees. Her staff is overworked and she will soon hire more employees to fill demand. Andrea is not currently experiencing __________; in fact, all of her employees and equipment are fully being used.


A) off-peak pricing
B) idle production capacity
C) static demand
D) capacity marketing
E) capacity inventory

F) A) and B)
G) B) and C)

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What primary marketing metric does the LA Galaxy use to assess the impact of its marketing actions?


A) sponsorships
B) ticket sales
C) promotion-to-sales ratio relative to other MLS teams
D) broadcast rights fees
E) merchandise sales

F) C) and D)
G) B) and D)

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B

Services can be classified by


A) their method of delivery.
B) their use of idle capacity time.
C) the nature of their ownership.
D) their location on perceptual maps.
E) organizational reach.

F) A) and D)
G) A) and B)

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Services provided by specialized professionals, such as medical diagnoses and legal services, have certain properties or characteristics that the consumer may find impossible to evaluate even after their purchase or consumption. What are these properties called?


A) customer contact properties
B) credence properties
C) capacity properties
D) contract properties
E) relationship properties

F) A) and D)
G) None of the above

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Which of the following statements regarding the place element of services is most accurate?


A) Place has little impact on the marketing of services because there are so many intermediaries from which a consumer may choose.
B) The distribution site and the service provider are the intangible components of the service.
C) Place is an especially important factor because of the inconsistency between the service and the service provider.
D) Until recently, customers generally had to go to the service provider's physical location to purchase the service.
E) Technology is an effective way to bring services to the customer, but only if the consumer is a new user. Otherwise, the disadvantages outweigh the benefits.

F) D) and E)
G) A) and D)

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D

In the seven Ps of services marketing, the term process refers to


A) the patented steps of service encounters that distinguish one service provider from another.
B) licensed procedures that have met ISO 9000 guidelines for safety.
C) the procedures, mechanisms, and flow of activities by which the service is created and delivered.
D) a protocol for behaviors and activities for people-based rather than technology-based services.
E) the decisions consumers' make during the purchase of services.

F) A) and B)
G) A) and E)

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Airline load factor refers to


A) the percentage of paying customer seats flown one mile plus frequent flyer redemption seats flown one mile.
B) the percentage of empty seats on a plane compared to its total capacity.
C) the percentage of available seats flown one mile occupied by a paying customer.
D) the percentage of seats that are overbooked on any given flight to prevent profit shortfalls for "no shows."
E) the total of all paid seats plus all luggage overcharges and all purchased beverages, meals, and other amenities or additional services, per flight.

F) B) and C)
G) C) and D)

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In the seven Ps of services marketing, the term process involves not only "what" is created but also


A) "if" it is created.
B) "how" it is created.
C) "when" it is created.
D) "for whom" it is created.
E) "why" it is created.

F) B) and C)
G) A) and E)

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Recently, many nonprofit organizations such as the American Red Cross


A) have found marketing practices to be counterproductive.
B) began using marketing activities to improve profits.
C) could not afford marketing activities.
D) thought that marketing activities would create excess demand.
E) have used marketing to develop advertising and other promotional campaigns.

F) A) and B)
G) C) and D)

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According to the service continuum, what are offerings such as theaters, advertising agencies, and air travel?


A) product-dominated offerings
B) people-dominated offerings
C) service-dominated offerings
D) equipment-dominated offerings
E) idea-dominated offerings

F) A) and B)
G) A) and C)

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All of the following comprise the seven Ps of services marketing except


A) product.
B) process.
C) profitability.
D) people.
E) physical environment.

F) A) and B)
G) A) and C)

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Jason graduated from high school and took his mom to dinner after the ceremony. At the restaurant, the server filled their water glasses, checked on their table, and took care of their requests. Jason noted that the last time he was at this restaurant, the experience was much worse. This scenario illustrates the ___________ of services.


A) impressionability
B) intangibility
C) inseparability
D) uniqueness of the service
E) inconsistency

F) A) and B)
G) C) and D)

Correct Answer

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