CHAPTER 11
MULTIPLE CHOICE QUESTIONS
1. According to the Journal of Advertising Research, the most studied area in
market:
a. employee surveys
b. customer satisfaction surveys
c. environmental design
d. management development programs
e. service failure and recovery analysis
2. Which of the following is not one of the reasons that fueled the growth of the
1970’s consumerism movement?
a. skyrocketing inflation
b. automation
c. deregulation
d. more informed consumers
e. surplus labor
3. Which one of the following statements regarding customer satisfaction is correct?
a. the average business does not hear from 85 percent of its unhappy customers
b. for every complaint received, 9 or 10 people actually have the same problem
c. complainers are more likely to do business with you again than noncomplainers
d. the average person with a problem tells more than 20 people
e. customers who have their complaints resolved tell an average of 26 people
4. Which of the following statements regarding customer satisfaction is incorrect?
a. bad news is communicated to more people than good news
b. complainers are more likely to do business with you again than noncomplainers
c. the average business does not hear from 80 percent of its unhappy customers
d. for every complaint received, 26 customers actually have problems
e. 95 percent of customers who have their complaints resolved quickly will continue
to conduct business with the firm
5. The most popular definition of customer satisfaction/dissatisfaction is based on:
a. the SERVQUAL Model
b. the Servuction Model
c. the Scale of Market Entities
d. the Expectancy Disconfirmation Model
e. Technical Assistance Research Program (TARP)
6. Positive disconfirmation of consumer expectations occurs when:
a. expectations meet perceptions
b. expectations exceed perceptions
c. expectations are less than perceptions
d. perceptions are less than expectations
e. expectations meet or exceed perceptions
7. Customers are most dissatisfied when a ______________ occurs.
a. disconfirmation
b. zone of intolerance
c. positive disconfirmation
d. confirmation
e. negative disconfirmation
8. Which of the following is not a benefit of customer satisfaction?
a. the firm is more insulated from price competition
b. the firm provides a positive work environment for its employees
c. positive word-of-mouth is generated from satisfied customers
d. satisfied customers make purchases more frequently
e. all the above
9. According to the text, of the following customer satisfaction methods, which is the
least effective in producing meaningful results?
a. The Scale of 100 Approach
b. Personal Interviews
c. The “Very Dissatisfied/Very Satisfied” Approach
d. The Combined Approach
e. Employee Surveys
10. According to the text, of the following customer satisfaction methods, which is
the most effective in producing meaningful results?
a. The Scale of 100 Approach
b. Personal Interviews
c. The “Very Dissatisfied/Very Satisfied” Approach
d. The Combined Approach
e. Employee Surveys
11. In general, the distribution of most companies’ customer satisfaction ratings is:
a. bimodal
b. normal
c. negatively skewed
d. positively skewed
e. erratic
12. Which of the following is not an indirect method of measuring customer
satisfaction?
a. sales records
b. profit reports
c. registered complaints
d. the “Scale of 100 Approach”
e. all the above are indirect measures
13. Which of the following tactics would yield higher customer satisfaction
scores?
a. utilizing mail surveys instead of personal interviews
b. stating the question in a dissatisfied form instead of a satisfied form
c. asking general questions prior to specific questions
d. avoiding data collection until a substantial period of time had elapsed
since the purchase.
e. all the above would generate lower customer satisfaction scores
14. Under which of the following scenarios is it more likely that a firm would
invest the resources necessary to increase its satisfaction ratings from 95
to 98 percent?
a. Competing firms have 90 and 88 percent satisfaction ratings
b. Competing firms have 85 and 75 percent satisfaction ratings
c. Competing firms have 96 and 97 percent satisfaction ratings
d. There are many opportunity costs associated with the investment
e. The market share gained has little effect on the firm’s bottom-line profits
15. The primary contribution of Babich’s customer satisfaction models is that it
stresses the importance of knowing __________.
a. customer satisfaction ratings
b. supplier satisfaction ratings
c. employee satisfaction ratings
d. competitor satisfaction ratings
e. stock holder satisfaction ratings
16. According to one group of consultants, on average, __________ percent
of customers who defect to competitors say they were “satisfied” or “very
satisfied” with their former providers.
a. 5 to 25
b 15 to 35
c. 25 to 45
d. 45 to 65
e. 65 to 85
17. __________ is the level of service quality a customer believes is likely to
occur.
a. desired service
b. predicted service
c. ideal service
d. adequate service
e. derived expectations
18. Customer satisfaction can be defined by comparing:
a. predicted service and perceived service
b. predicted service and desired service
c. desired service and perceived service
d. adequate service and perceived service
e. expected service and desired service
19. Which of the following are service quality measures?
a. customer satisfaction
b. desired service
c. perceived service superiority
d. perceived service adequacy
e. both c and d
20. _______ service is the level of service the customer actually wants to
receive.
a. desired service
b. predicted service
c. ideal service
d. adequate service
e. derived expectations
21. The zone of tolerance is most directly related to which of the following
unique service attributes?
a. intangibility
b. perishability
c. heterogeneity
d. inseparability
e. homogeneity
22. The zone of tolerance is defined by the difference between:
a. predicted service and perceived service
b. predicted service and desired service
c. desired service and adequate service
d. adequate service and perceived service
e. expected service and desired service
23. Personal factors that are stable over time and that increase a customer’s
sensitivity to how the service should be best provided are referred to as:
a. situational factors
b. explicit service promises
c. perceived service alternatives
d. transitory service intensifiers
e. enduring service intensifiers
24. Which of the following is not a factor that influences perceived service?
a. explicit service promises
b. perceived service alternatives
c. past experience
d. implicit service promises
e. word-of-mouth communications
25. Situational factors such as bad weather, catastrophe, and random events
of over-demand influence __________ levels.
a. desired service
b. predicted service
c. ideal service
d. adequate service
e. derived expectations
26. The number of competing alternative service providers available has the
biggest influence on:
a. desired service
b. predicted service
c. ideal service
d. adequate service
e. derived expectations
27. One of the major factors driving customer expectations of desired service
is:
a. predicted service
b. the customer’s personal service philosophies
c. adequate service
d. transitory service intensifiers
e. perceived service alternatives
28. When forming customer expectations, price acts as a:
a. enduring service intensifier
b. transitory service intensifier
c. explicit service promise
d. implicit service promise
e. situational factor
29. When forming customer expectations, the firm’s physical facility acts as a:
a. enduring service intensifier
b. transitory service intensifier
c. explicit service promise
d. implicit service promise
e. situational factor
30. When forming customer expectations, the firm’s brochure acts as a:
a. enduring service intensifier
b. transitory service intensifier
c. explicit service promise
d. implicit service promise
e. situational factor
31. The higher the number of perceived service alternatives:
a. the higher the level of adequate service expectations
b. the lower the level of adequate service expectations
c. the more narrow the zone of tolerance
d. a and c
e. b and c
32. Greg’s flight on United Airlines from Chicago to San Francisco departed
two hours late because of a snowstorm in Chicago. The snowstorm that delayed
Greg’s flight is a:
a. transitory service intensifier
b. self-perceived service role
c. predicted service intensifier
d. situational factor
e. personal needs
33. A bias in survey results because of responses being received from only a
limited group among the total survey population is called:
a. response bias
b. question bias
c. social desirability bias
d. collection bias
e. none of the above
34. Which of the following is NOT a criticism of customer satisfaction
research?
a. focuses on whether current needs are being met but fails to investigate
customers’ future needs
b. focus on registered complaints
c. focus on global attributes and ignores operational elements
d. it often excludes the firm’s employees from the survey process
e. customer know what they want and it is the worst strategy to follow
35. Naomi’s children are giving her a week at a spa for her seventieth
birthday. The expectations of the services the spa will provide are much
higher because they are selecting the spa for their mother’s approval
rather than for their own use. This is an example of a(n) _________
expectation.
a. derived service
b. self-perceived service
c. explicit service
d. enduring service
e. transitory service
SHORT-ANSWER ESSAYS
36. Discuss the benefits of customer satisfaction surveys.
37. Discuss why qualitative and quantitative data are needed to effectively
improve customer satisfaction ratings.
38. What factors should be considered before a firm allocates resources
towards improving its customer satisfaction ratings?
39. Identify 5 common criticisms of customer satisfaction research.
40. What are the drawbacks of listening to customers and assessing customer
satisfaction?
41. Define and explain the relevance of the term predicted service, desired
service, and adequate service as they pertain to customer satisfaction and
service quality.