Quiz 10: Managing Services For Business Markets

Business Marketing Management

Business
68
Questions
22
True/False
39
Choices
7
Essay
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Questions

Q1
Free

From the following list, identify the item that is least likely to be considered a pure service.

Multiple Choice
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A) market research
B) security and protection services
C) after-sales equipment repair and maintenance
D) insurance
E) consulting
Answer:
C) after-sales equipment repair and maintenance
Q2
Free

Many business offerings are composed of a combination of product and service elements. From the following, choose the correct ordering, from tangible dominant to intangible dominant, of the items listed.

Multiple Choice
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A) industrial grease, executive management seminars, convention hotel
B) executive management seminars, industrial grease, convention hotel
C) convention hotel, industrial grease, executive management seminars
D) convention hotel, executive management seminars, industrial grease
E) industrial grease, convention hotel, executive management seminars
Answer:
E) industrial grease, convention hotel, executive management seminars
Q3
Free

Simultaneous production and consumption is a unique service characteristic. From the following list, choose the marketing implication most closely related to this characteristic.

Multiple Choice
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A) planning capacity on the basis of peak demand
B) buyer-seller interaction requires that the service be done "right"
C) focusing promotion on the advantages of non-ownership
D) using pricing and promotion to even out demand peaks and valleys
E) developing systems that minimize deviations and human error
Answer:
B) buyer-seller interaction requires that the service be done "right"
Q4

The degree of tangible-intangible dominance of an industrial offering refers to the:

Multiple Choice
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A) simultaneous production and consumption of the service.
B) variability in the quality of the service.
C) perishability of the offering.
D) non-ownership of the service purchased.
E) relative importance accorded, by the buyer, to tangible versus intangible elements.
Answer:

A) You need to subscribe to get the answer.

Q5

Service variability is a unique service characteristic. From the following list, choose the marketing implication most closely related to this characteristic.

Multiple Choice
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A) buyer-seller interaction requiring that the service be done "right"
B) planning capacity on the basis of peak demand
C) emphasizing strict quality control standards
D) using pricing and promotion to even out demand peaks and valleys
E) None of the above applies specifically to service variability.
Answer:

A) You need to subscribe to get the answer.

Q6

When the marketer emphasizes reductions in staff, overhead, and capital as potential benefits to the purchaser, this relates to the service characteristic of:

Multiple Choice
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A) variability.
B) perishability.
C) simultaneous production and consumption.
D) intangibility.
E) lack of ownership.
Answer:

A) You need to subscribe to get the answer.

Q7

In the production and sale of industrial services, productive capacity is often a substitute for inventory. In other words, capacity will reflect the level of demand which the service provider can meet. This is primarily in response to which service characteristic?

Multiple Choice
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A) perishability
B) lack of ownership
C) nonstandardized output
D) simultaneous production and consumption
E) the extent to which tangible elements dominate intangible elements
Answer:

A) You need to subscribe to get the answer.

Q8

Concerning the nonstandardized nature of most industrial services, which of the following statements is incorrect?

Multiple Choice
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A) The more labor-intensive the service, the less uniform will be the output.
B) As the extent to which equipment is utilized to produce the service increases, variability will increase.
C) As automation of the service decreases, uniformity of the output will also decrease.
D) It is important to develop systems to minimize human error.
E) It is often difficult for the user to judge service quality before the service is provided.
Answer:

A) You need to subscribe to get the answer.

Q9

The interaction of the individual service provider with the customer may be the key element in the firm's entire marketing strategy. This is an explicit recognition of which characteristic unique to business services?

Multiple Choice
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A) simultaneous production and consumption
B) lack of ownership
C) nonstandardized output
D) inability to stockpile
E) the dominance of intangible elements
Answer:

A) You need to subscribe to get the answer.

Q10

Buyers of business services often experience difficulty in evaluating service quality. Since it is difficult to evaluate quality,

Multiple Choice
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A) buyers tend to experience more perceived risk.
B) buyers rely on different prepurchase information sources to reduce risk.
C) symbology plays a more important role in the evaluation process.
D) all of the above
E) (a) and (b) only
Answer:

A) You need to subscribe to get the answer.

Q11

When the business service marketer attempts to facilitate the customer's evaluation process, this is in response to:

Multiple Choice
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A) the nonstandardized nature of services.
B) the simultaneous consumption and production of services.
C) perceived determinant attributes.
D) the difficulty in evaluating service quality.
E) an emphasis on equipment/facilities service attributes.
Answer:

A) You need to subscribe to get the answer.

Q12

In evaluating service quality, customers focus on:

Multiple Choice
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A) empathy.
B) responsiveness.
C) assurance.
D) reliability.
E) all of the above
Answer:

A) You need to subscribe to get the answer.

Q13

In evaluating the quality of a service, which of the following dimensions is most important to customers?

Multiple Choice
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A) empathy
B) responsiveness
C) assurance
D) reliability
E) all of the above
Answer:

A) You need to subscribe to get the answer.

Q14

"Delivering on promises" relates to which of the following dimensions of service quality?

Multiple Choice
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A) empathy
B) responsiveness
C) assurance
D) reliability
E) all of the above
Answer:

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Q15

Development of the marketing mix is contingent upon the customer segment to be served. How do customer service segments differ from product market segments?

Multiple Choice
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A) Service segments are often narrower than product segments.
B) Service segmentation focuses on what business buyers need versus on what they expect.
C) Service segments are often wider than product segments.
D) The demand patterns of each service segment are very similar.
E) none of the above
Answer:

A) You need to subscribe to get the answer.

Q16

The customer benefit concept refers to:

Multiple Choice
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A) a detailed listing of which services will be provided.
B) guidelines for the delivery of the service product.
C) the core benefit that the customer will derive from the service.
D) the general benefits the service company will provide to the customer.
E) none of the above
Answer:

A) You need to subscribe to get the answer.

Q17

In conceptualizing the service product, the service offer refers specifically to the:

Multiple Choice
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A) actual creation and delivery of the service product.
B) detailed service elements that will make up the total services package.
C) general benefits the service company will provide to the customer.
D) benefits sought by customers.
E) overall process of assessing and responding to customer needs.
Answer:

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Q18

The ____ defines the general benefits the service company will provide in terms of the bundle of goods and services sold to the customer.

Multiple Choice
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A) customer-benefit concept
B) service offer
C) cross-selling concept
D) mixed bundling concept
E) service concept
Answer:

A) You need to subscribe to get the answer.

Q19

In the marketing of business services, items such as uniforms, logos, guarantees, written contracts, and color schemes are examples of:

Multiple Choice
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A) determinant attributes.
B) the service concept.
C) the actual service offer.
D) physical evidence of the actual service.
E) the system used to create and deliver the service.
Answer:

A) You need to subscribe to get the answer.

Q20

In the pricing of business services, service bundling refers to:

Multiple Choice
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A) demand management through off-peak pricing programs.
B) an assessment of the impact of demand elasticity on price changes.
C) product line pricing.
D) the attempt to attract new business.
E) the marketing of two or more services in a "package" for a special price.
Answer:

A) You need to subscribe to get the answer.

Q21

Research on new service success suggests that:

Multiple Choice
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A) the determinants of success for new services closely resemble those found for successful new products.
B) a well managed service development process is crucial.
C) successful projects provide clear customer benefits.
D) all of the above.
E) (b) and (c) only.
Answer:

A) You need to subscribe to get the answer.

Q22

Services are:

Multiple Choice
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A) deeds.
B) processes.
C) performances.
D) all of the above.
E) (b) and (c) only.
Answer:

A) You need to subscribe to get the answer.

Q23

The concept of tangibility helps the manager to:

Multiple Choice
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A) focus clearly on the firm's total market offering.
B) recognize that a change in one of the elements of the marketing offering may completely change the offering in the view of the customer.
C) determine how a service will marketed.
D) all of the above.
E) (a) and (b) only.
Answer:

A) You need to subscribe to get the answer.

Q24

Which of the following statements regarding the perishability of services is incorrect?

Multiple Choice
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A) Capacity is a substitute for inventory.
B) The demand for services is often predictable and consistent.
C) If capacity is set for peak demand, a service inventory must exist to supply the highest level of demand.
D) all of the above.
E) (a) and (c) only.
Answer:

A) You need to subscribe to get the answer.

Q25

When a manager is in charge of intangible and heterogeneous services, he/she should develop marketing strategies that:

Multiple Choice
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A) emphasize word-of-mouth communication.
B) provide tangible evidence.
C) employ value pricing.
D) all of the above.
E) (b) and (c) only.
Answer:

A) You need to subscribe to get the answer.

Q26

Recent research shows that business-to-business service firms are more likely to emphasize:

Multiple Choice
expand_more
A) relationship strategies as opposed to transactional strategies.
B) arms-length strategies.
C) the total buyer-seller process
D) all of the above.
E) (a) and (c) only.
Answer:

A) You need to subscribe to get the answer.

Q27

Service quality benefits should be linked to::

Multiple Choice
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A) customer satisfaction.
B) customer retention.
C) profitability.
D) market share.
E) all of the above.
Answer:

A) You need to subscribe to get the answer.

Q28

Bundling services in order to attract new customers can be efficient when:

Multiple Choice
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A) the service attributes can be evaluated before purchase.
B) the core service demand is inelastic.
C) there is a diminishing return on service quality.
D) all of the above.
E) (a) and (b) only.
Answer:

A) You need to subscribe to get the answer.

Q29

When Xerox offers a Total Satisfaction Guarantee that allows customers to return copiers for any reason, this is an example of:

Multiple Choice
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A) word of mouth.
B) developing tangible clues.
C) service bundling.
D) none of the above.
Answer:

A) You need to subscribe to get the answer.

Q30

Which of the following is NOT true of the solutions-centered approach instead of a product-centered approach?

Multiple Choice
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A) Win by creating and delivering superior customer solutions.
B) Value is created by the firm.
C) Relationship with customer is interaction-based.
D) Quality focus on customer-firm interactions.
E) All of the above are true.
Answer:

A) You need to subscribe to get the answer.

Q31

Benefits of solution-centered marketing strategy include:

Multiple Choice
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A) new avenues for growth.
B) sustained differentiation and customer loyalty.
C) Both a and b.
D) Neither a or b.
Answer:

A) You need to subscribe to get the answer.

Q32

Differences between goods and services include:

Multiple Choice
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A) intangibility.
B) variability.
C) profitability.
D) All of the above.
E) Only a and b.
Answer:

A) You need to subscribe to get the answer.

Q33

Perishability is a unique service characteristic. From the following list, choose the marketing implication most closely related to this characteristic.

Multiple Choice
expand_more
A) Need to use promotion and pricing to even out demand patterns.
B) Use physical cues in promotions to help customers evaluate service quality.
C) Emphasize strict quality control standards.
D) High-level training for service personnel.
Answer:

A) You need to subscribe to get the answer.

Q34

Non-ownership is a unique service characteristic. From the following list, choose the marketing implication most closely related to this characteristic.

Multiple Choice
expand_more
A) Need to use promotion and pricing to even out demand patterns.
B) Need to emphasize the benefits of reduced labor and overhead.
C) Use strict quality control standards.
D) High-level training for service personnel.
Answer:

A) You need to subscribe to get the answer.

Q35

Which of the following are components of a firm’s service offering and customer-linking processes that affect customer satisfaction?

Multiple Choice
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A) Technical assistance and training.
B) Recovery process for fixing service problems.
C) Basic elements of the service offering expected by customers.
D) All of the above.
E) Only a and b.
Answer:

A) You need to subscribe to get the answer.

Q36

_____ encompasses the procedures, policies, and processes a firm uses to resolve customer service problems promptly and efficiently.

Multiple Choice
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A) A value network
B) Service recovery
C) Service quality
D) Service loyalty
E) Service offering
Answer:

A) You need to subscribe to get the answer.

Q37

The _____ is the product dimension of service, including decisions about the essential concept of the service, the range of services provided, and the quality and level of the service.

Multiple Choice
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A) service strategy
B) service package
C) service recovery
D) service bundling
E) service loyalty
Answer:

A) You need to subscribe to get the answer.

Q38

The service offer is linked with the service concept and also:

Multiple Choice
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A) spells out in more detail the service offering.
B) when and to whom they will be provided.
C) how they will be presented.
D) All of the above.
Answer:

A) You need to subscribe to get the answer.

Q39

New services are more likely to be successful if they:

Multiple Choice
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A) respond to market needs.
B) capitalize on a firm’s reputation.
C) come from a well-managed new-service-development process.
D) All of the above.
E) Only a and c.
Answer:

A) You need to subscribe to get the answer.

Q40

A pure service, by definition, accompanies the sale of a physical product.

True/False
expand_more
A) True.
B) False.
Answer:

Subscribe First.

Q41

Simultaneous production and consumption requires that the service be done "right."

True/False
expand_more
A) True.
B) False.
Answer:

Subscribe First.

Q42

An emphasis on strict quality control standards is necessitated by service variability.

True/False
expand_more
A) True.
B) False.
Answer:

Subscribe First.

Q43

Planning capacity on the basis of peak demand is necessitated by service variability.

True/False
expand_more
A) True.
B) False.
Answer:

Subscribe First.

Q44

The more labor-intensive the service, the less uniform will be the output.

True/False
expand_more
A) True.
B) False.
Answer:

Subscribe First.

Q45

Perishability of services may necessitate equating capacity with peak demand.

True/False
expand_more
A) True.
B) False.
Answer:

Subscribe First.

Q46

Research suggests that among the service quality dimensions, responsiveness is most important to customers.

True/False
expand_more
A) True.
B) False.
Answer:

Subscribe First.

Q47

A range of services can be delivered through the Internet.

True/False
expand_more
A) True.
B) False.
Answer:

Subscribe First.

Q48

The service offer refers to the detailed service elements that will make up the total services package.

True/False
expand_more
A) True.
B) False.
Answer:

Subscribe First.

Q49

In the marketing of business services, items such as logos, uniforms, guarantees, and color schemes are examples of physical evidence of the actual service.

True/False
expand_more
A) True.
B) False.
Answer:

Subscribe First.

Q50

Service bundling refers to the marketing of two or more services in a package for a special price.

True/False
expand_more
A) True.
B) False.
Answer:

Subscribe First.

Q51

The concept of tangibility helps the manager to focus clearly on the firm's total market offering.

True/False
expand_more
A) True.
B) False.
Answer:

Subscribe First.

Q52

For services, capacity is a substitute for inventory.

True/False
expand_more
A) True.
B) False.
Answer:

Subscribe First.

Q53

The actual performance by the service provider is of little relevance compared to the customer's perception of the service.

True/False
expand_more
A) True.
B) False.
Answer:

Subscribe First.

Q54

Business-to-business service firms are more likely to emphasize transactional strategies as opposed to relationship strategies.

True/False
expand_more
A) True.
B) False.
Answer:

Subscribe First.

Q55

A solution-centered approach starts with the product and leads to a solution that satisfies customers.

True/False
expand_more
A) True.
B) False.
Answer:

Subscribe First.

Q56

In order to effectively use a solutions perspective, business marketers need to define their unique capabilities and determine how to use them to help customers reduce costs, increase responsiveness, or improve quality.

True/False
expand_more
A) True.
B) False.
Answer:

Subscribe First.

Q57

Reliability, responsiveness, and empathy are all dimensions of service quality.

True/False
expand_more
A) True.
B) False.
Answer:

Subscribe First.

Q58

Service quality encompasses the procedures, policies, and processes a firm uses to resolve customer service problems promptly and effectively.

True/False
expand_more
A) True.
B) False.
Answer:

Subscribe First.

Q59

Lean consumption focuses on providing full value to buyers with the greatest efficiency and least amount of trouble.

True/False
expand_more
A) True.
B) False.
Answer:

Subscribe First.

Q60

Demand for services is rarely steady or predictable enough to avoid service perishability.

True/False
expand_more
A) True.
B) False.
Answer:

Subscribe First.

Q61

Distribution decisions in the service industry are focused on how to make the service package available and accessible to the user.

True/False
expand_more
A) True.
B) False.
Answer:

Subscribe First.

Q62

Customer____________________represents teh internal and subjective response a business customer has to any direct or indirect contact with a company.

Essay
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Answer:

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Q63

Instances where the customer has direct contact with either the product or service itself or with representatives of it by a third party, such as a channel partner are known as____________________.

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Answer:

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Q64

The first step in understanding a customer’s experience is to develop a ____________________map.

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Answer:

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Q65

Service____________________means that services cannot be stored or stockpiled; if they are not provided at the time they are available, the lost revenue cannot be recaptured.

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Answer:

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Q66

Treating customers as individuals exemplifies the____________________dimension of service quality.

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Answer:

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Q67

____________________is focused on providing the full value that buyers desire from their goods and services, with the greatest efficiency and least trouble.

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Q68

In ____________________ the customer can purchase one or more services individually or purchase the entire bundle.

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Answer:

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