Question 1

The U.S.economy is the world's first service economy.

Accepted Answer

A) True 
 B)False

Question 2

Selecting a marketing mix is the first step in developing any nonprofit marketing strategy.

Accepted Answer

A) True 
 B)False

Question 3

In what ways do inseparability and intangibility affect the pricing of services?

Accepted Answer

Inseparability and intangibility are two

Question 4

Safe Auto Insurance advertises "minimum coverage for minimum budgets" for its automobile insurance.Which of the following best describes Safe Auto's approach?

Accepted Answer

A) Customers often use price as an indicator of quality,and Safe wants to be seen as a low-quality provider. 
B) This type of advertising makes insurance more tangible to the customer. 
C) Safe wants to reassure customers that they provide the highest level of service quality available. 
D) Because market conditions limit prices on auto insurance,Safe uses this approach to gain customers. 
E) For some services,customers look for the low-cost provider,which is what Safe claims to be. 
A) Customers often use price as an indicator of quality,and Safe wants to be seen as a low-quality provider. 
B) This type of advertising makes insurance more tangible to the customer. 
C) Safe wants to reassure customers that they provide the highest level of service quality available. 
D) Because market conditions limit prices on auto insurance,Safe uses this approach to gain customers. 
E) For some services,customers look for the low-cost provider,which is what Safe claims to be.

Question 5

If a nonsmoker dines in a restaurant without a no-smoking section,then the overall quality of service experienced by the nonsmoking customer probably declines.This is an example of which of the following service characteristics?

Accepted Answer

A) Perishability 
B) Inseparability 
C) Heterogeneity 
D) Intangibility 
E) Homogeneity 
A) Perishability 
B) Inseparability 
C) Heterogeneity 
D) Intangibility 
E) Homogeneity

Question 6

Nonprofit organizations that do not serve and adapt to the needs and wants of their target public may fail.

Accepted Answer

A) True 
 B)False

Question 7

A small private college in Tennessee paid a large sum of money to a marketing firm to study the college's current marketing strategy and help develop new strategies for attracting students.The college is having a difficult time evaluating the effectiveness of the marketing firm's work because this type of service has many

Accepted Answer

A) search qualities. 
B) undefined parameters. 
C) credence qualities. 
D) experience qualities. 
E) unknown results. 
A) search qualities. 
B) undefined parameters. 
C) credence qualities. 
D) experience qualities. 
E) unknown results.

Question 8

In most service industries,customer-contact employees are

Accepted Answer

A) valued as the most important employees in the organization. 
B) the best trained employees in the organization. 
C) the lowest-paid and least-trained employees. 
D) well-trained but have high turnover rates. 
E) moderately paid personnel with high rates of turnover. 
A) valued as the most important employees in the organization. 
B) the best trained employees in the organization. 
C) the lowest-paid and least-trained employees. 
D) well-trained but have high turnover rates. 
E) moderately paid personnel with high rates of turnover.

Question 9

Customer-oriented measures of employee performance may be a better basis of evaluation and rewards.

Accepted Answer

A) True 
 B)False

Question 10

When Expedia.com offers a special price for customers who chose an airline ticket,hotel,and a rental car,it is using ____

Accepted Answer

A) bundled-pricing. 
B) time-based pricing. 
C) off-peak demand pricing. 
D) preferred demand. 
E) time dependent pricing. 
A) bundled-pricing. 
B) time-based pricing. 
C) off-peak demand pricing. 
D) preferred demand. 
E) time dependent pricing.

Question 11

Which of the following countries was the world's first service economy?

Accepted Answer

A) England 
B) United States 
C) Sweden 
D) Canada 
E) Germany 
A) England 
B) United States 
C) Sweden 
D) Canada 
E) Germany

Question 12

Training of employees is less important for high-contact services than it is for low-contact services.

Accepted Answer

A) True 
 B)False

Question 13

Scenario 13.2
Use the following to answer the questions.
Kaycee Petit needed to find a new company to prepare her tax return this year.Kaycee looked in the yellow pages of the phone book,and went on the Internet to find information about any tax preparers in the area.She found the names and numbers of several accountants,as well as the popular HR Block and Jackson Hewitt.Since Kaycee had a somewhat complicated financial situation,she decided on using an accountant rather than the two popular companies.Kaycee found the websites of three of the accountants,but the other two were not on the Internet.She visited the offices of the three accounts who had websites.The first office was in a somewhat "seedy" part of town,but had a nice interior and a receptionist.The second office was in a nicer part of town,but did not have any employees other than the accountant,and had old furniture and old carpet.The third office was all around in better condition and Kaycee felt better about its accountant,so she decided on him.
-Refer to Scenario 13.2.The accountant who Kaycee chose to prepare her taxes will most likely require her to schedule an appointment due to the ____ characteristic of the service.If Kaycee schedules an appointment during the month of February,the accountant will
Most likely use ____ when charging for the service.

Accepted Answer

A) inseparability;time-based pricing 
B) inseparability;off-peak demand pricing 
C) perishability;bundled pricing 
D) perishability;demand-based pricing 
E) intangibility;demand-based pricing 
A) inseparability;time-based pricing 
B) inseparability;off-peak demand pricing 
C) perishability;bundled pricing 
D) perishability;demand-based pricing 
E) intangibility;demand-based pricing

Question 14

Services are highly perishable and cannot be inventoried for future use.

Accepted Answer

A) True 
 B)False

Question 15

Which of the following service characteristics results in variability of service quality yet provides the opportunity for customizing services to match the specific needs of individual customers?

Accepted Answer

A) Homogeneity 
B) Perishability 
C) Heterogeneity 
D) Intangibility 
E) Inseparability 
A) Homogeneity 
B) Perishability 
C) Heterogeneity 
D) Intangibility 
E) Inseparability

Question 16

Maria asks Glenda what housecleaning service she would recommend in Oakview.Glenda responds that Pristine Cleaning is great if you can be assured that Janice will be the person assigned to your house.Glenda's recommendation addresses which of the following service features?

Accepted Answer

A) Heterogeneity 
B) Intangibility 
C) Perishability 
D) Inseparability 
E) Homogeneity 
A) Heterogeneity 
B) Intangibility 
C) Perishability 
D) Inseparability 
E) Homogeneity

Question 17

Service industries account for less than 50 percent of the U.S.gross domestic product.

Accepted Answer

A) True 
 B)False

Question 18

Customers seldom rely on the price-quality associations.

Accepted Answer

A) True 
 B)False

Question 19

Scenario 13.1
Use the following to answer the questions.
The YMCA in mid-town Atlanta has recently upgraded its facilities,including building a new Olympic-sized swimming pool and children's playground.All locations of the Atlanta "Y" are open from 6:00 am until 11:00 pm,360 days a year.The children's playground is accessible for members only,and is a fenced and secured area.During the weekdays,children under the age of 12 can engage in supervised activities at the playground,for no extra fee.Additionally,there are swimming classes for children of all ages,which is also covered by the monthly membership fee.The swimming pool has been very popular with the professionals who stop by for a swimming workout before or after work.
Many of the YMCA locations are very busy all day,however,the midtown "Y" is busier during the early morning and early evenings.At a recent meeting,Maya Sinclair,its manager,shared her concerns about getting more people into the "Y" at other times of the day.She asked for ideas from her staff about how to do this.She also said that the city of Atlanta had reduced the "Y"'s funding for the next year by 20%.This would cause a need for the "Y" to either gain additional members or charge more per member for the annual fee.
-Refer to Scenario 13.1.One of Maya's staff suggested that they offer senior citizens a free month of membership for every person they recommended to the "Y." This particular form of promotion would be designed to

Accepted Answer

A) increase perceptions of quality. 
B) increase positive word-of-mouth communication. 
C) increase negative word-of-mouth communication. 
D) increase advertising effectiveness. 
E) increase the customer contact associated with the "Y." 
A) increase perceptions of quality. 
B) increase positive word-of-mouth communication. 
C) increase negative word-of-mouth communication. 
D) increase advertising effectiveness. 
E) increase the customer contact associated with the "Y."

Question 20

In an attempt to attract customers,service marketers often promise great results and satisfaction to customers,but marketers should be careful not to

Accepted Answer

A) deliver on these promises and risk financial losses and the success of the company. 
B) promise less than they can actually deliver and keep customers away. 
C) make the appearance of their facilities consistent with their promises to customers. 
D) promise too much and cause customer expectations beyond what they can deliver. 
E) make the quality of their services too tangible in the eyes of the customer. 
A) deliver on these promises and risk financial losses and the success of the company. 
B) promise less than they can actually deliver and keep customers away. 
C) make the appearance of their facilities consistent with their promises to customers. 
D) promise too much and cause customer expectations beyond what they can deliver. 
E) make the quality of their services too tangible in the eyes of the customer.

The U.S.economy is the world's first service economy.

Selecting a marketing mix is the first step in developing any nonprofit marketing strategy.

In what ways do inseparability and intangibility affect the pricing of services?

Safe Auto Insurance advertises "minimum coverage for minimum budgets" for its automobile insurance.Which of the following best describes Safe Auto's approach?

If a nonsmoker dines in a restaurant without a no-smoking section,then the overall quality of service experienced by the nonsmoking customer probably declines.This is an example of which of the following service characteristics?

Nonprofit organizations that do not serve and adapt to the needs and wants of their target public may fail.

In most service industries,customer-contact employees are

Customer-oriented measures of employee performance may be a better basis of evaluation and rewards.

When Expedia.com offers a special price for customers who chose an airline ticket,hotel,and a rental car,it is using ____

Which of the following countries was the world's first service economy?

Training of employees is less important for high-contact services than it is for low-contact services.

Services are highly perishable and cannot be inventoried for future use.

Which of the following service characteristics results in variability of service quality yet provides the opportunity for customizing services to match the specific needs of individual customers?

Maria asks Glenda what housecleaning service she would recommend in Oakview.Glenda responds that Pristine Cleaning is great if you can be assured that Janice will be the person assigned to your house.Glenda's recommendation addresses which of the following service features?

Service industries account for less than 50 percent of the U.S.gross domestic product.

Customers seldom rely on the price-quality associations.

In an attempt to attract customers,service marketers often promise great results and satisfaction to customers,but marketers should be careful not to

An Overview of Strategic Marketing

Planning, Implementing, and Evaluating Marketing Strategies

The Marketing Environment

Social Responsibility and Ethics in Marketing

Marketing Research and Information Systems

Target Markets: Segmentation and Evaluation

Consumer Buying Behavior

Business Markets and Buying Behavior

Reaching Global Markets

Digital Marketing and Social Networking

Product Concepts

Developing and Managing Products

Branding and Packaging

Marketing Channels and Supply-Chain Management

Retailing, direct Marketing, and Wholesaling

Integrated Marketing Communications

Advertising and Public Relations

Personal Selling and Sales Promotion

Pricing Concepts

Setting Prices

Filters

Exam 13: Services Marketing

The U.S.economy is the world's first service economy.

Selecting a marketing mix is the first step in developing any nonprofit marketing strategy.

In what ways do inseparability and intangibility affect the pricing of services?

Safe Auto Insurance advertises "minimum coverage for minimum budgets" for its automobile insurance.Which of the following best describes Safe Auto's approach?

If a nonsmoker dines in a restaurant without a no-smoking section,then the overall quality of service experienced by the nonsmoking customer probably declines.This is an example of which of the following service characteristics?

Nonprofit organizations that do not serve and adapt to the needs and wants of their target public may fail.

In most service industries,customer-contact employees are

Customer-oriented measures of employee performance may be a better basis of evaluation and rewards.

When Expedia.com offers a special price for customers who chose an airline ticket,hotel,and a rental car,it is using ____

Which of the following countries was the world's first service economy?

Training of employees is less important for high-contact services than it is for low-contact services.

Services are highly perishable and cannot be inventoried for future use.

Which of the following service characteristics results in variability of service quality yet provides the opportunity for customizing services to match the specific needs of individual customers?

Maria asks Glenda what housecleaning service she would recommend in Oakview.Glenda responds that Pristine Cleaning is great if you can be assured that Janice will be the person assigned to your house.Glenda's recommendation addresses which of the following service features?

Service industries account for less than 50 percent of the U.S.gross domestic product.

Customers seldom rely on the price-quality associations.

In an attempt to attract customers,service marketers often promise great results and satisfaction to customers,but marketers should be careful not to

An Overview of Strategic Marketing

Planning, Implementing, and Evaluating Marketing Strategies

The Marketing Environment

Social Responsibility and Ethics in Marketing

Marketing Research and Information Systems

Target Markets: Segmentation and Evaluation

Consumer Buying Behavior

Business Markets and Buying Behavior

Reaching Global Markets

Digital Marketing and Social Networking

Product Concepts

Developing and Managing Products

Branding and Packaging

Marketing Channels and Supply-Chain Management

Retailing, direct Marketing, and Wholesaling

Integrated Marketing Communications

Advertising and Public Relations

Personal Selling and Sales Promotion

Pricing Concepts

Setting Prices

Filters