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In a capacity management report from a well-known carrier in the airline industry, the yield is 9.83 cents, load factor is 82.1 percent, and operating expense is 8.28 cents. From these details, the percentage of available seats flown one mile occupied by a paying customer is ________.


A) 9.83
B) 82.1
C) 8.28
D) 18.11
E) 1.55

F) A) and B)
G) A) and C)

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One tool available to marketers that are trying to even out the variations in demand for services is


A) off-peak pricing.
B) product lay-away.
C) credit incentives.
D) container sales.
E) product rationing.

F) None of the above
G) A) and B)

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Which of these is a point in the customer contact audit for a health club?


A) participating in one of the health club's exercise classes
B) the customer's diet
C) too much traffic on the way to the club
D) a willingness to exercise
E) meeting an attractive gym member

F) A) and E)
G) A) and B)

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How does the LA Galaxy use promotion (advertising, personal selling, public relations, sales promotion, direct marketing) in its marketing program?

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LA Galaxy advertising includes TV, radio...

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How is inventory of services different from that of products?


A) Time is less important to customers of services than customers of products.
B) Only service inventory can be reduced through more efficient movement of products.
C) There are larger costs associated with the handling of service inventory.
D) Unlike goods providers, the service provider is often unavailable when there is a demand for the service.
E) Service inventory costs are related to idle production capacity rather than storage or perishability.

F) A) and B)
G) C) and D)

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Which of these is a government agency that provides a service?


A) March of Dimes
B) American Red Cross
C) Home Depot
D) United States Postal Service
E) Chase Bank

F) A) and C)
G) All of the above

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Inconsistency of services refers to the idea that


A) there is no regulation of service industries in terms of basic standards of quality.
B) the quality of service provided by a firm is often inconsistent with its image.
C) the performance of one employee may vary from the performance of another though the same firm employs both.
D) training and standardization of service delivery procedures cannot be accomplished.
E) services have a varying degree of durability.

F) B) and D)
G) B) and C)

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Which of these is high in credence properties?


A) clothing
B) vacation
C) jewelry
D) houses
E) auto repair

F) C) and D)
G) C) and E)

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In a capacity management report from a well-known carrier in the airline industry, the yield is 9.83 cents, load factor is 82.1 percent, and operating expense is 8.28 cents. The revenue generated by each seat flown one mile is


A) 9.83 cents.
B) 82.1 cents.
C) 8.28 cents.
D) 18.11 cents.
E) 7.99 cents.

F) C) and D)
G) A) and E)

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Service firms can manage their physical environment to influence customers' perceptions through


A) service delivery management.
B) relationship management.
C) customer experience management.
D) exposure management.
E) impression management.

F) C) and E)
G) A) and C)

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Beverly has 15 tax accountants on her staff. During the months of February, March, and April, her staff is overworked, and she may even hire more employees to meet the tax preparation needs of her clients. Beverly is not currently experiencing ________; in fact, all of her employees are fully being used.


A) off-peak pricing
B) idle production capacity
C) static demand
D) capacity marketing
E) capacity inventory

F) D) and E)
G) B) and E)

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The actual procedures, mechanisms, and flow of activities by which a service is created and delivered is referred to as


A) process.
B) procedure.
C) productivity.
D) protocol.
E) plan.

F) None of the above
G) D) and E)

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Most marketing experts agree that it is best to ________ service failures, particularly when the failure is viewed to be the result of a controllable factor.


A) ignore
B) present success stories to negate
C) respond to
D) blog about
E) consider

F) None of the above
G) A) and D)

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The concept of internal marketing is based on the notion that a service organization must focus on its ________ before successful programs can be directed at customers.


A) competitors
B) prospects
C) shareholders
D) employees
E) suppliers

F) A) and D)
G) A) and E)

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The trend toward sustainability and "green" business practices has expanded to include many services as they strive to


A) comply with FDA rules.
B) increase their energy use.
C) reduce their capacity.
D) shift focus to the use of resources.
E) minimize consumer involvement.

F) All of the above
G) B) and C)

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Recent surveys of consumers have indicated that while customers of many services are interested in being "relationship customers," they require that the relationship be balanced in terms of


A) honesty, a lack of prejudice, and empathy.
B) loyalty, benefits, value, kinds of connections, and respect for privacy.
C) loyalty, honesty, and integrity.
D) financial benefits, product benefits, and preferential treatment.
E) financial benefits, product benefits, and interpersonal benefits.

F) A) and D)
G) D) and E)

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For nonprofit organizations, excesses in revenue over expenses are


A) taxed at one-half the rate of for-profit organizations.
B) distributed equally to all of the organization's shareholders.
C) returned to the organization's treasury to allow the continuation of the service.
D) taxed at a reduced rate if the revenue is to be used in keeping with the organization's core mission.
E) not taxed at all unless it is a religious organization.

F) B) and C)
G) C) and E)

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Consumers have more difficulty evaluating services than they do products; the difficulty results from the


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

F) A) and C)
G) A) and B)

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Recent research suggests that employees affect the success of customer relationships through which of the following?


A) innovativeness
B) competence
C) persuasiveness
D) assertiveness
E) friendliness

F) None of the above
G) All of the above

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  Figure 12-6 -According to Figure 12-6 above, Box E represents which dimension of service quality? A)  reliability B)  empathy C)  tangibility D)  assurance E)  responsiveness Figure 12-6 -According to Figure 12-6 above, Box E represents which dimension of service quality?


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

F) A) and E)
G) A) and B)

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