_____ concerns the results that customers receive from their complaints.
A. Functional fairness
B. Procedural fairness
C. Interactional fairness
D. Service equity
E. Outcome fairness
Kate recently learned to play golf. Last week, she decided to try a new golf course. She
signed in to play and was given the keys to an electric golf cart without any instructions
on how to operate it. After she drove the cart into a lake, she swore never to play golf
again. According to Kate, “There are just too many things you have to know before you
can become a real golfer.” Two months later, the golf course manager called Kate and
asked why she had not returned to play another game. Which service recovery strategy
is being used in this example?
A. Make the service fail safe
B. Encourage and track complaints
C. Treat customers proactively
D. Use procedural fairness
E. Learn from lost customers
Which type of research is most reminiscent of an exit interview that would ask a
question such as, “What exactly could we have done to keep you from leaving the
company?” and “Is there anything we can do to keep you from resigning from your
position”?
A. Complaint solicitation
B. Critical incidents studies
C. Relationship survey
D. Post transaction survey
E. Lost customer research
Historically, the Japanese have had poor dental care. As part of their beauty regimen,
the Japanese do have a habit of lightening and whitening their skin. Teethart has
developed “tooth manicure” salons, which allow Japanese to match their teeth
coloration to their skin. Each treatment takes place in a small booth, which contains an
ergonomically-designed chair, muted lights, and New Age-style music. The walls are
painted calming shade of blues and greens. Teethart uses the _____ element of its
service to reduce stress associated with dental procedures.
A. Product
B. Production
C. Process
D. Place
E. Physical evidence
Which of the following is an example of a tangible component provided by a hotel?
A. Wake-up call
B. Guest rooms
C. Room service
D. Express check-out
E. Guaranteed reservations
At Benford Bank, all customers opting for the drive-thru can pick from one of three
lanes. One line may seem to move faster than the others, but all allow customers to
accomplish any type of transaction. Which of the following queue configurations does
Benford Bank use?
A. Multiple queue
B. Double queue
C. Take-a-number queue
D. Queue with barriers
E. Roundabout queue
Because he has a busy practice, new patients for dentist Dr. Kirby Brown are informed
that, unless there is an emergency, the first available appointment will be in three
months. If they accept the appointment, they will be reminded of their appointment by a
courtesy call. This first visit will take about an hour. On this visit, their teeth will be
cleaned and x-rayed, their gums will be examined and the dentist will talk to them
about future dental treatment needs. Dr. Brown is _____________ to manage customer
expectations.
A. Managing horizontal communications
B. Making realistic promises
C. Offering a service guarantee
D. Offering choices
E. Coordinating external communication
Customers often cannot accurately evaluate the technical qualities of legal work like
that provided when a homeowner refinances his or her property. Which of the following
cues would the homeowner be likely to use to evaluate the legal services?
A. Courtesy of the lawyer and staff
B. Diplomas on wall
C. How the lawyer dresses
D. The lawyer’s use of humor and empathy
E. All of the above
When Roberta gets her hair cut, she carefully explains to the hair stylist how she
expects it to look once the haircut is finished. Roberta is playing the role of a:
A. Customer mix manager
B. Competitor
C. Productive resource
D. Contributor to quality and satisfaction
E. Recruiter
Historically, the Japanese have had poor dental care. As part of their beauty regimen,
the Japanese do have a habit of lightening and whitening their skin. Teethart has
developed “tooth manicure” salons, which allow Japanese to match their teeth
coloration to their skin. Each treatment takes place in a private booth, which contains an
ergonomically-designed chair, muted lights and New Age-style music. The walls are
painted calming shade of blues and greens. By using physical evidence to reduce
anxiety, Teethart is narrowing provider _____ of the gaps model of service quality.
A. Gap 1
B. Gap 2
C. Gap 3
D. Gap 4
The customer equity model illustrates how:
A. Customer equity is influenced by value equity, brand equity and relationship equity
B. Interactive marketing, external marketing and internal marketing are interrelated
C. To identify unexpected service encounters
D. Customer equity leads to more efficient defensive marketing
E. Organizations can more effectively monitor customer churn
Which of the following trends has directly influenced the development of services
marketing concepts and strategies?
A. The decreasing importance of service industries to the U.S. and world economies
B. The growth in information-based technology
C. Decreased competition in professional services
D. The fact that manufacturing firms are placing increased emphasis on providing
services
E. None of the above
For which of the following services does successful service delivery depend on
consumers having a moderate level of participation by providing information, effort or
physical possessions?
A. A weight-reduction program
B. Airline travel
C. A symphony concert
D. A haircut
E. Marriage counseling
Hewlett-Packard uses FedEx to handle all of its fulfillment orders from its retail web
site. Once an order is placed at the HP web site, it is automatically transmitted to
FedEx’s Memphis headquarters. Orders are packaged at FedEx’s warehouse and shipped
by FedEx to the HP customer. This arrangement was set up as a solution to problems
with distribution capacity that HP experienced prior to the implementation of this
arrangement. Which strategy is HP using to adjust capacity to match demand?
A. Using part-time employees
B. Cross-training employees
C. Scheduling downtime during low periods
D. Performing maintenance and renovations
E. Outsourcing activities
In India, weddings are timed to occur when Venus is in the ascendant and Jupiter is
strong. This day is deemed lucky. In 2005, almost 15, 000 couples in New Delhi had
their wedding on December 25, the day astrologers announced would be the best day
for a wedding. It is very likely that wedding planners in New Delhi have difficulty
narrowing provider ______ of the gaps model of service quality due to their inability to
match supply and demand.
A. Gap 1
B. Gap 2
C. Gap 3
D. Gap 4
Salespeople for college texts call on college instructors to sell them on using a
particular text for their classes. Improvements in efficiency have led some publishers to
stop making sales calls altogether on smaller colleges. It is a much better use of the
sales force’s time to call on schools with large classes and big adoption rates. From the
customer’s point of view, this application of the profitability tier:
A. Could cause resentment
B. Will not cause any problems
C. Simply increases the importance of word-of-mouth communication
D. Is not profitable
E. Creates across-the-board customer enhancement
For quite some time, Kentucky Fried Chicken (KFC) has grown through providing its
service outside the United States. After over two decades of expansion in China, the
company is now planning to explore Africa as a new market and expects to double its
number of outlets in Africa within four years. KFC has developed a growth strategy
emphasizing:
A. Share building
B. Market development
C. Service development
D. Diversification
E. Market integration
As a service dimension increases in importance, a customer’s zone of tolerance _____
and his or her desired and adequate service levels _____.
A. Narrows; increase
B. Widens; increase
C. Widens; decrease
D. Narrows; decrease
Which of the following types of interaction activities in a service organization is used to
obtain ideas for service improvement?
A. Employee suggestions
B. Employee internal satisfaction surveys
C. Research on intermediate customers
D. Executive listening approaches
E. Executive visits to customers
Many companies do not identify and act on the correct non-financial measures. One
four major mistakes that companies make is _______. In other words, they do not
verify that the non-financial measures lead to financial performance.
A. Not linking measures to strategy
B. Not validating the links
C. Not setting the right performance targets
D. Measuring incorrectly
E. Not creating a balanced scorecard
All of the following are among the criteria for an effective service research program
EXCEPT:
A. Includes perceptions and expectations
B. Includes measures of loyalty or behavioral intentions
C. Measures priorities or importance
D. Considers only qualitative research
E. Occurs with appropriate frequency
Customer _____ are beliefs about service delivery that function as standards against
which performance is judged.
A. Attitudes
B. Judgments
C. Goals
D. Expectations
E. Perceptions
When its sales were declining, Canadian Airline conducted a marketing survey to
understand the expectations of the business traveler, its target market. It learned
business travelers resent that they are bosses in their own offices but are totally
controlled by the whims of the airlines when they travel. If Canadian Airline had only
surveyed former customers who were still in their database, it would have used which
service recovery strategy?
A. Critical incident
B. Make the service fail safe
C. Welcome and encourage complaints
D. Learn from lost customers
E. Customer empowerment
Which of the following is an example of a poka-yoke?
A. Lynsey is so upset with the service she got at the travel agency that she is launching
a one-woman campaign to put it out of business
B. The business owner complains to the licensing board every time the next-door
restaurant’s employees forget to put the lids on the garbage cans
C. The day care center has carefully labeled bins for each parent to fill with food,
diapers, clothes and toys so that one child’s stuff will not be confused with another’s
D. The customer refused to pay the delivery fee because the package arrived two days
late
E. The dentist’s office staff regularly does lose customer research
Consumer resistance to using self-checkout lines has resulted from a _____ cost in
using a new service.
A. Convenience
B. Monetary
C. Psychological
D. Time
E. Search
Which of the following factors does NOT lead to provider gap 4?
A. Absence of strong internal marketing program
B. Over-promising in advertising
C. Insufficient communication between advertising and operations
D. Differences in policies and procedures across company branches
E. Creating clear standards
During which stage of the service innovation and development process does a service
firm produce a description of the service that represents its specific characteristics and
features?
A. Idea generation
B. New services strategy development
C. Service development and evaluation
D. Market testing
E. Service concept development and evaluation
The Chatham Landing apartment complex offers tenants $200 off one month’s rent for
each new tenant referral. By rewarding tenants for making a tenant referral, Chatham
Landing is encouraging tenants to perform which of the following customer jobs?
A. Helping oneself
B. Positioning the company
C. Promoting the company
D. Recruiting customers
E. Helping others
Customer panels:
A. Are conducted on an annual basis
B. Have moderate time costs
C. Have high monetary costs
D. Are statistically valid
E. Cannot be used to monitor changing customer expectations
Which of the following would result in a broadening of provider gap 1?
A. The service intermediary for a cruise line wants to only sell those cruises on which it
would receive the highest commissions
B. The ski resort has an over-reliance on price to smooth demand for its resort facilities
C. The marketing research done by the motel chain includes insufficient research about
what its target market wants
D. The ads for the language program over-promise how quickly the average person will
be able to learn a foreign language
E. All of the above would result in a broadening of provider gap 1
As the number of perceived service alternatives increases, the level of adequate service
_____ and the zone of tolerance _____.
A. Decreases; narrows
B. Decreases; widens
C. Increases, widens
D. Increases; narrows
E. Stays the same; stays the same
The Atlanta Kroger Marketing Area (KMA) publishes a monthly newsletter, Hot Off the
Press, to provide information to its employees about food safety and preparation,
changes in store policy and exceptional service encounters and the employees who were
involved in these encounters. This newsletter is an example of:
A. Vertical communications
B. Vertical integration
C. Horizontal integration
D. Informal communication
E. Interactive marketing
For technology-based service encounters, which of the following is NOT a form of
failure to deliver on the core promise?
A. Technology system failure
B. Process failures in follow-up
C. Poor website design
D. Errors on the part of the customer
E. All of the above are forms of failure to deliver on the core promise
The primary constraint on service production for a lawyer is:
A. Equipment
B. Utility
C. Money
D. Facilities
E. Time