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1. The corporate culture of a firm does not significantly influence the quality of the service it provides because the culture is internal and, therefore, not perceived by the customer
Flexibility in meeting customer needs is the main reason that some service firms have empowered contact personnel
In the service encounter triad, the potential conflict between the service organization and its contact personnel is one of efficiency vs. satisfaction
When the customer's role is built into the service delivery system, he or she is said to be a coproducer
Saturation clustering occurs when service firms locate their business near their competitors because they expect a high level of customer traffic
Cross-median is an approach to the location of a single facility using the metropolitan metric to maximize the total distance traveled
The strategy of segmenting demand to reduce variation makes use of the fact that demand for a service is seldom from a homogeneous source.
Differential pricing is an attempt to make peak usage periods unattractive by imposing a penalty on the consumer for using the service during peak periods.
Cross training of employees as a strategy to increase flexibility is feasible only when there exist tasks, the demands for which peak at different times.
Expected loss for an overbooking reservation strategy would be calculated by, multiplying the loss for each no-show possibility by its probability of occurrence, and then adding the products
Waiting is often seen as psychological punishment because the consumer is aware of the opportunity cost of waiting time and the resulting loss of earnings
the time a consumer will spend waiting is directly related to the amount of money he is paying for the service. The less the service costs him, the longer he is willing to wait
In analytical queuing models, the calling population mainly determines whether the queue will be finite or infinite.
Concealment of the waiting line or at least part of it is a very effective deterrent against reneging.
The term queue configuration refers to the number of queues, their locations, their spatial requirements, and their effect on consumer behavior.
Most forecasting models assume that the underlying pattern of behavior of their data will remain the same. The only component of error is attributable to random fluctuations that are not under the control of anyone
One reason exponential smoothing is so popular is the ease with which it can be made to accommodate trend and seasonality in its forecasts.
In the Delphi method, the opinions of experts are collected, then the analyst resolves differences of opinion to arrive at a consensus.
customer's control of the situation
26. A customer who is interested in the self-service option would find which of the following dimensions of service most important?
a. Risk involvement
b. Customer's control of the situation
c. Amount of time involved
d. Efficiency of the service process
27. The most common reason for difficulties during the interaction of customers and contact personnel is:
a. unreasonable demands.
b. a technical breakdown in service delivery.
c. incompetent contact personnel.
d. a lack of attention to detail by contact personnel
when the customer is forming an opinion about the efficiency of the service
28. A "moment of truth" is not:
a. an opportunity to influence a customer's perception of the service quality.
b. critical in achieving a reputation for superior quality.
c. when the customer is forming an opinion about the efficiency of the service.
d. an interaction between a customer and a service provider?
empathy for the customer
29. The most important attribute of customer contact personnel is:
f. sales related knowledge.
h. empathy for the customer.
30. A strategy that may be used by urban retailers to locate multiple sites close to each other in high-density areas despite the potential for cannibalization is called
e. competitive clustering.
f. marketing intermediaries.
g. saturation marketing.
h. saturation clustering
ownership of the service i.e. public or private
31. The optimization criteria governing the location of a service facility is determined mainly by the
a. ownership of the service, i.e., public or private.
b. kind of service, e.g. food, banking, or postal.
c. number of facilities to be located.
d. average size of the facilities to be located.
32. The following are important in estimating spatial demand except
e. defining the target population
f. selecting a unit of area
g. developing a visual representation or map
h. distance traveled
Car dealerships are often located near one another along a "motor mile" to allow customers to make comparisons. This location strategy is known as
e. competitive Clustering
f. saturation Marketing
g. marketing Intermediaries
h. competitive Positioning
make off peak usage attractive
34. The purpose of differential pricing is to
e. make peak period usage unattractive.
f. make off-peak usage attractive.
g. charge customers according to their ability to pay.
h. adjust capacity to demand.
promoting off peak demand
35. services should try to avoid overbooking.
e. creating adjustable capacity.
f. developing complementary services.
g. increasing customer participation.
h. promoting off-peak demand.
decrease customer participation in the service
36. Which of the following strategies is inappropriate for managing capacity and demand?
e. Smooth customer demand by offering price incentives.
f. Scheduling staff to meet variations in forecasted customer demand.
g. Decrease customer participation in the service process.
h. Promoting off-peak use of facilities.
assign opperators to shifts
37. Which one of the following four steps in "daily workshift scheduling" is out of order?
a. Forecast demand.
b. Convert to operator requirements.
c. Assign operators to shifts.
d. Schedule shifts.
using reservations and appointments
38. Faced with variable demand and a perishable capacity, a service manager can smooth demand by
a. using part-time help during peak hours.
b. scheduling workshifts to vary workforce needs according to demand.
c. increasing the customer self-service content of the service.
d. using reservations and appointments.
only a limited number of people may use the facility in any given period
39. The calling population is termed finite when:
a. there is restriction on the maximum number in the queue.
b. only a limited number of people may use the facility in any given period.
c. the interarrival time is not very large.
d. there is no queue discipline specified
prominently display time with a large analog clock
40. Unfair waits feel longer than fair waits.
f. Which of the following is not an effective way to manage the psychology of waiting?
g. Prominently display time with a large analog clock.
h. Inform customers when long waits are anticipated.
i. Use diversions to occupy customer waiting times.
j. Employ a take-a-number system to ensure fairness
lead to a perceived shorter wait time
41. One advantage of the multiple queue compared to a single queue is that multiple queues
e. minimize wait times.
f. reduce the average service time.
g. lead to a perceived shorter service time.
h. lead to a perceived shorter wait time.
42. After selecting a line in a multiple queue system, a customer is ________ when she or he switches to a different line perceive it to be moving faster.
displaying time with a large analog clock
43. All but one of the following are techniques to lessen the boredom of waiting customers:
e. placement of mirrors in elevators.
f. telling customers how long the wait is at different points in the queue.
g. installing a television tuned to CNN.
h. displaying time with a large analog clock.
the use of opinion as a basis for a forecast
44. Subjective forecasting models are best characterized by:
e. the use of experts.
f. the use of opinion as a basis for a forecast.
g. the absence of data manipulation.
h. the use of simultaneous equations.
45. In regression models, the variable of interest (being forecast) is called a(an):
e. defining variable.
f. independent variable.
g. basic variable.
h. dependent variable.
46. The Delphi method is best used when forecasting
e. customer demand.
f. technological change.
g. correlations between events.
h. future economic conditions
47. In the design of an inventory system all but one of the following is considered.
e. Type of customer demand
f. Relevant inventory costs
h. Safety stocks
EOQ for the loe=west price per unit
48. When a quantity discount is offered, the first step should be compute
e. EOQ for the highest price per unit.
f. EOQ for the lowest price per unit.
g. the total annual cost for the highest quantity discount.
h. the total annual cost for the lowest quantity discount.
among the most numerous
49. In the ABC inventory classification, C items can best be described as
f. among the most numerous.
g. having a high stockout cost.
h. requiring close attention.
reorder point, safety stock
50. Service level influences _______ and ________.
e. reorder point, safety stock.
f. reorder point, backorder quantity.
g. safety stock, backorder quantity.
h. backorder quantity, lead-time demand.
an interactive system of marketing which uses one or more advertisingmedia to effect a measuarable resonse or transation at any location
purpose of direct marketing
Solicit direct order
•Drive store traffic
•Customer Relationship Management
data base marketing
•Improve selection of market
•Stimulate repeat purchases
•Customer relationship management
PURLS (personalized URLs)
1. Direct mail with customized domain name
2. Personalized microsite
3. Data capture on site
4. E mail, direct mail, telemarketing contact
5. Update personalized site
Content management system
allows non programers to edit text and change images
should have templace and narrow content providers
Separate from corporate but linked
More personal, more interactive
Limited promotions or product launches
search engine optimization (SEO)
‣ strategic use of keywords, not repetition
‣ less than 10% of total content
‣ avoid repeating headline words in a summary
‣ don't forget heads, subheads (first 2 words )
‣ first and last paragraphs more important
‣ don't forget tagging images
‣ short, simple, to the point
‣ passive voice for headings is more effective for search
ways to evaluate digital
clicks, conversations, uniques, bounce rates, eye tracking, offline sales lift
Build excitement before media advertising
‣Improve ROI (reduce promo costs)
‣Create advertising news (when no product news)
‣Customer relationships (value added, product info)
‣Influence opinion leaders
‣Pre-emptive defense/damage control
Number of impressions (gross, targeted)
‣Positive mentions (articles, news items)
‣Positive to negative ratio
‣Pre/post surveys (quantitative/qualitative)
WHAT ARE THE OBJECTIVES?
HOW/WHEN WILL YOU MEASURE?
Perceived as more credible than ads and other
PR because it's not sponsored
‣Tends to have higher news value
‣Can be positive or negative
‣Hard to control
‣At mercy of news cycle and media spin
evaluating corporate advertising
‣Pre-post opinion surveys
‣Positive media coverage
Compile, integrate and deliver information that
benefits the target audience (curation)
‣"Brands become publishers"
measuring online advertising
•Click through rates
Misrepresentation, omission, or practice
that is likely to mislead the consumer acting
reasonably in the circumstances leading to
the consumer detriment
Any word, name, symbol or device used to identify goods
and distinguish them from others.
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