Marketing Management question bank

Chapter 13: Designing and Managing Services

GENERAL CONCEPT QUESTIONS

Multiple Choice

1. Service industries are everywhere. They include the government sector, private nonprofit sector, business sector, manufacturing sector, and the ________.

a. insurance salespeople

b. seasonal workers

c. temporary workers

d. retail sector

e. none of the above

2. Manufacturers, distributors, and retailers can provide ________ services, or simply excellent customer service, to differentiate themselves.

a. financial

b. value-added

c. sales

d. marketinga

e. distribution

3. There are five categories of offerings for a service. It can be either a minor or a major component of the company’s offerings. Which of the following is NOTone of these five categories?

a. Pure tangible good

b. Tangible good with accompanying services

c. Hybrid

d. Major service with accompanying minor goods and services

e. Major service with accompanying major goods

4. Which of the following would be an example of a hybrid service?

a. University

b. Professor

c. Restaurant

d. Soap manufacturer

e. Airline

5. Which of the following would be an example of a pure service?

a. Insurance

b. Airlines

c. Car dealer

d. Copier company

e. None of the above

6. Services vary as to whether they are equipment based or ________.

a. service based

b. people based

c. process based

d. historical based

e. none of the above

7. Some services require that the client be present to conduct the service. An example of such a service is a ________.

a. vending machine

b. fast-food meal

c. medical operation

d. car repair

e. tax service

8. Services differ as to whether they meet a personal need or a ________.

a. quality need

b. production need

c. business need

d. functional need

e. customer need

9. Services high in ________qualities are those services that have characteristics the buyer normally finds hard to evaluate even after consumption.

a. equipment

b. search

c. experience

d. personal attention

e. credence

10. Services have four distinctive characteristics that greatly affect the design of marketing programs. Which of the following is NOTone of these characteristics?

a. Intangibility

b. Communicability

c. Variability

d. Perishability

e. None of the above

11. Services cannot be seen, tasted, felt, or heard before they are bought. To reduce uncertainty, buyers will look for evidence of quality. They will draw inference about quality from place, people, and price they see. Therefore, the service provider’s task is to “________.”

a. communicate value

b. manage the evidence

c. go full speed ahead

d. provide high touch, high price

e. none of the above

12. Service companies can try to demonstrate their service quality through physical evidence and ________.

a. predatory pricing

b. people

c. pricing

d. profits

e. presentation

13. Unlike physical goods, services are produced and ________ simultaneously.

a. launched

b. consumed

c. created

d. maximized

e. none of the above

14. One of the special features of services marketing is the provider–client interaction. This is defined as when the client is also ________ as the service is produced.

a. prominent

b. productive

c. producing

d. present

e. paying

15. Services depend on who provides them and when and where they are provided. They are highly ________.

a. suspect

b. variable

c. consistent

d. substandard

e. none of the above

16. Better-trained personnel exhibit several characteristics such as ________, which means they perform the service consistently and accurately.

a. reliability

b. courtesy

c. credibility

d. competence

e. responsiveness

17. Better-trained personnel exhibit several characteristics such as ________, which means they respond quickly to customers’ requests and problems.

a. reliability

b. courtesy

c. credibility

d. competence

e. responsiveness

18. There are three steps service firms can take to increase quality control. Which of the following is NOTone of these steps?

a. Reduce customer contact points

b. Monitor customer satisfaction

c. Standardize the service-performance process

d. Invest in good training procedures

e. Invest in good hiring procedures

19. A ________ is a tool that allows service providers to simultaneously map out the service process, the points of customer contact, and the evidence of service from the customer’s point of view.

a. service guarantee

b. service blueprint

c. communication material

d. credence quality

e. tangible good

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