Question 1

Which of the following statements about providing customers with service quality is true?

Accepted Answer

A)  All customers must be provided the same superior quality of service 
B)  All customers are worth attracting and keeping through the use of service quality 
C)  The same services marketing strategy should be used with all customers 
D)  All customers will be profitable in the long run; therefore,each is deserving of quality service 
E)  Links exist among customer satisfaction,service quality,and increased purchases 
A)  All customers must be provided the same superior quality of service 
B)  All customers are worth attracting and keeping through the use of service quality 
C)  The same services marketing strategy should be used with all customers 
D)  All customers will be profitable in the long run; therefore,each is deserving of quality service 
E)  Links exist among customer satisfaction,service quality,and increased purchases E

Question 2

Which of the measurement areas in the balanced performance scorecard is the most difficult to capture quantitatively?

Accepted Answer

A)  Operations measures 
B)  Financial measures 
C)  Customer measures 
D)  Sales measures 
E)  Innovation and learning measures 
A)  Operations measures 
B)  Financial measures 
C)  Customer measures 
D)  Sales measures 
E)  Innovation and learning measures E

Question 3

All of the following are measurement areas contained in a balanced performance scorecard EXCEPT:

Accepted Answer

A)  Competitor measures 
B)  Customer perceptual measures 
C)  Financial measures 
D)  Innovation and learning 
E)  Operational measures 
A)  Competitor measures 
B)  Customer perceptual measures 
C)  Financial measures 
D)  Innovation and learning 
E)  Operational measures A

Question 4

From the inception of service quality,managers had highly sophisticated tools to measure the impact of improved service on profits.

Accepted Answer

A) True 
 B)False

Question 5

When service quality first emerged as a pivotal competitive strategy what method did managers use to determine the effect of improved service quality on financial success?

Accepted Answer

A)  Intuition 
B)  Return on service quality (ROSQ) 
C)  Trend analysis 
D)  Experiential research 
E)  Focus groups 
A)  Intuition 
B)  Return on service quality (ROSQ) 
C)  Trend analysis 
D)  Experiential research 
E)  Focus groups

Question 6

Financial measures used in the balanced scorecard include the long-term value of the customer,the number of new products,return on innovation,and number of customer referrals.

Accepted Answer

A) True 
 B)False

Question 7

Which of the following is NOT an assumption upon which the return on service quality (ROSQ)approach is based?

Accepted Answer

A)  Quality is an investment 
B)  Quality efforts are financially accountable 
C)  It is possible to spend too much on quality 
D)  Not all quality expenditures are equally valid 
E)  All quality investments are a good investment 
A)  Quality is an investment 
B)  Quality efforts are financially accountable 
C)  It is possible to spend too much on quality 
D)  Not all quality expenditures are equally valid 
E)  All quality investments are a good investment

Question 8

ROSQ (return on service quality)is used to help managers make decisions about service quality investments.

Accepted Answer

A) True 
 B)False

Question 9

Service quality can help companies attract more and better customers to the business through offensive marketing.

Accepted Answer

A) True 
 B)False

Question 10

Guests who stay at a Walt Disney World resort hotel are asked to complete a comment card when they checkout.In one section of the comment card,guests are asked if they would recommend the hotel they stayed at to a friend and if they would return to the same hotel.These two behavioral intention questions are focusing on the _____ perspective of its balanced performance scorecard.

Accepted Answer

A)  Competitive 
B)  Customer 
C)  Financial 
D)  Innovation and learning 
E)  Operational 
A)  Competitive 
B)  Customer 
C)  Financial 
D)  Innovation and learning 
E)  Operational

Question 11

An organization that wanted to create quantitative measures of its innovation and learning should use:

Accepted Answer

A)  Rate of customer defection 
B)  The 80/20 principle 
C)  Long-term value of innovation to customers 
D)  The operating efficiencies continuum 
E)  Performance-to-goal percentages 
A)  Rate of customer defection 
B)  The 80/20 principle 
C)  Long-term value of innovation to customers 
D)  The operating efficiencies continuum 
E)  Performance-to-goal percentages

Question 12

Traditionally,organizations have measured their performances almost completely on the basis of financial indicators.

Accepted Answer

A) True 
 B)False

Question 13

The development of _____ allows service companies to create,automate,and integrate measurements in all parts of the company in a balanced performance scorecard.

Accepted Answer

A)  Relationship marketing 
B)  Search engines 
C)  Data mining 
D)  Integrative marketing 
E)  Enterprise-wide software 
A)  Relationship marketing 
B)  Search engines 
C)  Data mining 
D)  Integrative marketing 
E)  Enterprise-wide software

Question 14

Many companies do not identify and act on the correct non-financial measures.One of the four major mistakes that companies make is _______.In other words,they do not verify that the non-financial measures lead to financial performance.

Accepted Answer

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 
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

Question 15

Which approach to measuring service quality assumes that not all expenditures aimed at improving quality are equally valid?

Accepted Answer

Return on

Question 16

All of the following are measures within the innovation and learning perspective of the balanced performance scorecard EXCEPT:

Accepted Answer

A)  Employee skills 
B)  Return on innovation 
C)  Number of new products 
D)  Time spent talking to customers 
E)  Service expectations 
A)  Employee skills 
B)  Return on innovation 
C)  Number of new products 
D)  Time spent talking to customers 
E)  Service expectations

Question 17

Defensive marketing can be used to reduce customer defection.

Accepted Answer

A) True 
 B)False

Question 18

What is another name for customer-linked operational measures that would be used in a balanced performance scorecard? What are some of the specific measures that may appropriate to include in this area of the balanced performance scorecard?

Accepted Answer

Customer-defined standards.These are ope

Question 19

How does the way the balanced performance scorecard examines operational measures differ from the traditional uses of such measurements?

Accepted Answer

The balanced scorecard require

Question 20

Which of the following is NOT likely to be a source of money when a company uses a defensive marketing effect?

Accepted Answer

A)  Increased market share 
B)  Increased volume of purchases 
C)  Lower costs 
D)  Increased word-of-mouth communication 
E)  Increased price premium 
A)  Increased market share 
B)  Increased volume of purchases 
C)  Lower costs 
D)  Increased word-of-mouth communication 
E)  Increased price premium

Which of the following statements about providing customers with service quality is true?

Which of the measurement areas in the balanced performance scorecard is the most difficult to capture quantitatively?

All of the following are measurement areas contained in a balanced performance scorecard EXCEPT:

From the inception of service quality,managers had highly sophisticated tools to measure the impact of improved service on profits.

When service quality first emerged as a pivotal competitive strategy what method did managers use to determine the effect of improved service quality on financial success?

Financial measures used in the balanced scorecard include the long-term value of the customer,the number of new products,return on innovation,and number of customer referrals.

Which of the following is NOT an assumption upon which the return on service quality (ROSQ)approach is based?

ROSQ (return on service quality)is used to help managers make decisions about service quality investments.

Service quality can help companies attract more and better customers to the business through offensive marketing.

An organization that wanted to create quantitative measures of its innovation and learning should use:

Traditionally,organizations have measured their performances almost completely on the basis of financial indicators.

The development of _____ allows service companies to create,automate,and integrate measurements in all parts of the company in a balanced performance scorecard.

Many companies do not identify and act on the correct non-financial measures.One of the four major mistakes that companies make is _______.In other words,they do not verify that the non-financial measures lead to financial performance.

Which approach to measuring service quality assumes that not all expenditures aimed at improving quality are equally valid?

All of the following are measures within the innovation and learning perspective of the balanced performance scorecard EXCEPT:

Defensive marketing can be used to reduce customer defection.

What is another name for customer-linked operational measures that would be used in a balanced performance scorecard? What are some of the specific measures that may appropriate to include in this area of the balanced performance scorecard?

How does the way the balanced performance scorecard examines operational measures differ from the traditional uses of such measurements?

Which of the following is NOT likely to be a source of money when a company uses a defensive marketing effect?

Introduction to Services

Conceptual Framework of the Book: The GAPS Model of Service Quality

Customer Expectations of Service

Customer Perceptions of Service

Listening to Customers Through Research

Building Customer Relationships

Service Recovery

Service Innovation and Design

Customer-Defined Service Standards

Physical Evidence and the Servicescape

Employees Roles in Service Delivery

Customers Roles in Service Delivery

Managing Demand and Capacity

Integrated Service Marketing Communications

Pricing of Services

Filters

Exam 16: The Financial and Economic Impact of Service

Which of the following statements about providing customers with service quality is true?

Which of the measurement areas in the balanced performance scorecard is the most difficult to capture quantitatively?

All of the following are measurement areas contained in a balanced performance scorecard EXCEPT:

From the inception of service quality,managers had highly sophisticated tools to measure the impact of improved service on profits.

When service quality first emerged as a pivotal competitive strategy what method did managers use to determine the effect of improved service quality on financial success?

Financial measures used in the balanced scorecard include the long-term value of the customer,the number of new products,return on innovation,and number of customer referrals.

Which of the following is NOT an assumption upon which the return on service quality (ROSQ)approach is based?

ROSQ (return on service quality)is used to help managers make decisions about service quality investments.

Service quality can help companies attract more and better customers to the business through offensive marketing.

An organization that wanted to create quantitative measures of its innovation and learning should use:

Traditionally,organizations have measured their performances almost completely on the basis of financial indicators.

The development of _____ allows service companies to create,automate,and integrate measurements in all parts of the company in a balanced performance scorecard.

Many companies do not identify and act on the correct non-financial measures.One of the four major mistakes that companies make is _______.In other words,they do not verify that the non-financial measures lead to financial performance.

Which approach to measuring service quality assumes that not all expenditures aimed at improving quality are equally valid?

All of the following are measures within the innovation and learning perspective of the balanced performance scorecard EXCEPT:

Defensive marketing can be used to reduce customer defection.

What is another name for customer-linked operational measures that would be used in a balanced performance scorecard? What are some of the specific measures that may appropriate to include in this area of the balanced performance scorecard?

How does the way the balanced performance scorecard examines operational measures differ from the traditional uses of such measurements?

Which of the following is NOT likely to be a source of money when a company uses a defensive marketing effect?

Introduction to Services

Conceptual Framework of the Book: The GAPS Model of Service Quality

Customer Expectations of Service

Customer Perceptions of Service

Listening to Customers Through Research

Building Customer Relationships

Service Recovery

Service Innovation and Design

Customer-Defined Service Standards

Physical Evidence and the Servicescape

Employees Roles in Service Delivery

Customers Roles in Service Delivery

Managing Demand and Capacity

Integrated Service Marketing Communications

Pricing of Services

Filters