Question 1

The inventory costs of services include

Accepted Answer

A)  equipment and training costs. 
B)  management and material costs. 
C)  service delivery and spoilage costs. 
D)  salary of service provider and equipment costs. 
E)  salary of service provider and training costs. 
A)  equipment and training costs. 
B)  management and material costs. 
C)  service delivery and spoilage costs. 
D)  salary of service provider and equipment costs. 
E)  salary of service provider and training costs.

Question 2

Services are

Accepted Answer

A)  the tangible activities or benefits that an organization provides to satisfy consumers' needs in exchange for money or something else of value. 
B)  the activities provided to complement a tangible good, such as technical support for a computer. 
C)  any activity required for the production of a good that cannot be completed in-house and must be outsourced to another firm. 
D)  the human (nonmechanical) component that is part of the manufacturing process. 
E)  the intangible activities or benefits that an organization provides to satisfy consumers' needs in exchange for money or something else of value. 
A)  the tangible activities or benefits that an organization provides to satisfy consumers' needs in exchange for money or something else of value. 
B)  the activities provided to complement a tangible good, such as technical support for a computer. 
C)  any activity required for the production of a good that cannot be completed in-house and must be outsourced to another firm. 
D)  the human (nonmechanical) component that is part of the manufacturing process. 
E)  the intangible activities or benefits that an organization provides to satisfy consumers' needs in exchange for money or something else of value.

Question 3

Which of these products is high in search properties?

Accepted Answer

A)  clothing 
B)  TV repair 
C)  legal services 
D)  auto repair 
E)  medical diagnosis 
A)  clothing 
B)  TV repair 
C)  legal services 
D)  auto repair 
E)  medical diagnosis

Question 4

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

Accepted Answer

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)  As competition grows in service industries, the value of convenient distribution is being recognized. 
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. 
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)  As competition grows in service industries, the value of convenient distribution is being recognized. 
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.

Question 5

The Philadelphia Phillies baseball team may have great hitting and pitching one day, and lose by 10 runs the next day. This is an example of a service being

Accepted Answer

A)  inseparable. 
B)  inconsistent. 
C)  inventoried. 
D)  tied to a product. 
E)  independent of the quality delivered. 
A)  inseparable. 
B)  inconsistent. 
C)  inventoried. 
D)  tied to a product. 
E)  independent of the quality delivered.

Question 6

The inventory carrying costs of airlines are high because they

Accepted Answer

A)  use a straight salary compensation plan for the large numbers of flight attendants. 
B)  have high-salaried pilots and very expensive equipment. 
C)  allow baggage personnel to work overtime. 
D)  decrease the number of workdays per week but increase the hours per day. 
E)  use a commission compensation system for their reservationists. 
A)  use a straight salary compensation plan for the large numbers of flight attendants. 
B)  have high-salaried pilots and very expensive equipment. 
C)  allow baggage personnel to work overtime. 
D)  decrease the number of workdays per week but increase the hours per day. 
E)  use a commission compensation system for their reservationists.

Question 7

Josh is looking for a new smartphone provider because he has grown tired of the many dropped calls, particularly near his school. In terms of the service quality dimensions, Josh is unhappy with which dimension of his service?

Accepted Answer

A)  assurance 
B)  tangibility 
C)  responsiveness 
D)  reliability 
E)  empathy 
A)  assurance 
B)  tangibility 
C)  responsiveness 
D)  reliability 
E)  empathy

Question 8

Airlines feature load factor as a capacity management measure on their marketing dashboards, along with two other measures: the operating expense per available seat flown one mile and the revenue generated by each seat flown one mile, called

Accepted Answer

A)  profit per passenger. 
B)  average price per passenger. 
C)  internal ROI. 
D)  unit variable sales. 
E)  yield. 
A)  profit per passenger. 
B)  average price per passenger. 
C)  internal ROI. 
D)  unit variable sales. 
E)  yield.

Question 9

Which of these is the best example of an equipment-based service?

Accepted Answer

A)  lawn care 
B)  doctors 
C)  dry cleaners 
D)  lawyers 
E)  janitorial services 
A)  lawn care 
B)  doctors 
C)  dry cleaners 
D)  lawyers 
E)  janitorial services

Question 10

According to the service continuum, what are offerings such as neckties, dog food, and salt?

Accepted Answer

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

Question 11

Idle production capacity for services is defined as

Accepted Answer

A)  a situation where the demand exceeds the availability of service providers and as a result, no services can be offered. 
B)  situations in which the supply of tangible goods exceeds the primary demand for the service. 
C)  a situation where a service provider is available but there is no demand for the service. 
D)  integrating the service component of the marketing mix with efforts to influence consumer demand. 
E)  the reduced effectiveness of one service provider serving multiple clients at the same time. 
A)  a situation where the demand exceeds the availability of service providers and as a result, no services can be offered. 
B)  situations in which the supply of tangible goods exceeds the primary demand for the service. 
C)  a situation where a service provider is available but there is no demand for the service. 
D)  integrating the service component of the marketing mix with efforts to influence consumer demand. 
E)  the reduced effectiveness of one service provider serving multiple clients at the same time.

Question 12

Service providers use tools such as ________, which consists of charging different prices for different times of the day or during different days of the week, to manage the variations in demand for their services.

Accepted Answer

A)  scale pricing 
B)  capacity pricing 
C)  down-time pricing 
D)  off-peak pricing 
E)  fraction pricing 
A)  scale pricing 
B)  capacity pricing 
C)  down-time pricing 
D)  off-peak pricing 
E)  fraction pricing

Question 13

To help consumers assess and compare its airline service, Frontier Airlines has used personable animal characters in its advertising to announce and describe benefits, such as leather seats and "stretch" seating, to help deal with the

Accepted Answer

A)  incongruity of the service. 
B)  inseparability of the service. 
C)  intangibility of the service. 
D)  inflexibility of the service. 
E)  interdependence of the service. 
A)  incongruity of the service. 
B)  inseparability of the service. 
C)  intangibility of the service. 
D)  inflexibility of the service. 
E)  interdependence of the service.

Question 14

Identify and describe how the LA Galaxy uses the seven Ps of services marketing in its marketing program.

Accepted Answer

Each of the seven Ps of services marketi

Question 15

Recently, many nonprofit organizations such as the American Red Cross

Accepted Answer

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. 
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.

Question 16

The brochure for Spa Sydell has photographs of people enjoying the various spa amenities. By seeing the pictures of available treatments at the spa, a customer has a better idea of what she is buying. Spa Sydell uses a brochure to help customers deal with the ________ that is associated with using the service.

Accepted Answer

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

Question 17

Sterile Feral, Inc., is a nonprofit organization that catches wild or stray cats, and then neuters, vaccinates, and releases them. Veterinarians are particularly impressed with how effectively and safely the organization performs its service each and every time. With which service quality dimension are veterinarians most impressed?

Accepted Answer

A)  assurance 
B)  tangibility 
C)  reliability 
D)  credibility 
E)  empathy 
A)  assurance 
B)  tangibility 
C)  reliability 
D)  credibility 
E)  empathy

Question 18

Figure 12-6
-According to Figure 12-6 above, Box A represents which dimension of service quality?

Accepted Answer

A)  tangibility (tangibles) 
B)  responsiveness 
C)  assurance 
D)  reliability 
E)  empathy 
A)  tangibility (tangibles) 
B)  responsiveness 
C)  assurance 
D)  reliability 
E)  empathy

Question 19

Equipment-based services do not have the marketing concern of inconsistency because ________ have been removed from the delivery of the service.

Accepted Answer

A)  risk and product liability 
B)  people 
C)  learning requirements 
D)  automations 
E)  accessories 
A)  risk and product liability 
B)  people 
C)  learning requirements 
D)  automations 
E)  accessories

Question 20

Organizations attempt to reduce inconsistency in their services by

Accepted Answer

A)  paying higher incentives to employees to encourage satisfactory performance. 
B)  reducing incentives available to employees because of poor performance. 
C)  reducing the customer contact points in the service delivery process. 
D)  providing standardization and training. 
E)  exercising better hiring practices. 
A)  paying higher incentives to employees to encourage satisfactory performance. 
B)  reducing incentives available to employees because of poor performance. 
C)  reducing the customer contact points in the service delivery process. 
D)  providing standardization and training. 
E)  exercising better hiring practices.

Exam 12: Services Marketing

The inventory costs of services include

Services are

Which of these products is high in search properties?

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

The Philadelphia Phillies baseball team may have great hitting and pitching one day, and lose by 10 runs the next day. This is an example of a service being

The inventory carrying costs of airlines are high because they

Josh is looking for a new smartphone provider because he has grown tired of the many dropped calls, particularly near his school. In terms of the service quality dimensions, Josh is unhappy with which dimension of his service?

Airlines feature load factor as a capacity management measure on their marketing dashboards, along with two other measures: the operating expense per available seat flown one mile and the revenue generated by each seat flown one mile, called

Which of these is the best example of an equipment-based service?

According to the service continuum, what are offerings such as neckties, dog food, and salt?

Idle production capacity for services is defined as

Service providers use tools such as ________, which consists of charging different prices for different times of the day or during different days of the week, to manage the variations in demand for their services.

To help consumers assess and compare its airline service, Frontier Airlines has used personable animal characters in its advertising to announce and describe benefits, such as leather seats and "stretch" seating, to help deal with the

Identify and describe how the LA Galaxy uses the seven Ps of services marketing in its marketing program.

Recently, many nonprofit organizations such as the American Red Cross

Figure 12-6 -According to Figure 12-6 above, Box A represents which dimension of service quality?

Equipment-based services do not have the marketing concern of inconsistency because ________ have been removed from the delivery of the service.

Organizations attempt to reduce inconsistency in their services by

Creating Customer Relationships and Value Through Marketing

Developing Successful Organizational and Marketing Strategies

Scanning the Marketing Environment

Ethical and Social Responsibility for Sustainable Marketing

Understanding Consumer Behavior

Understanding Organizations As Customers

Understanding and Reaching Global Consumers and Markets

Marketing Research: From Customer Insights to Actions

Market Segmentation, Targeting, and Positioning

Developing New Products and Services

Managing Successful Products, Services, and Brands

Building the Price Foundation

Arriving at the Final Price

Managing Marketing Channels and Supply Chains

Retailing and Wholesaling

Integrated Marketing Communications and Direct Marketing

Advertising, Sales Promotion, and Public Relations

Using Social Media and Mobile Marketing to Connect With Consumers

Personal Selling and Sales Management

Implementing Interactive and Multi-Channel Marketing

Pulling It All Together: the Strategic Marketing Proces

Building an Effective Marketing Plan

Financial Aspects of Marketing

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