FiltersDone

Question type

Essay

Multiple Choice

Short Answer

True False

Matching

Exam 16: The Financial and Economic Impact of Service

Show Answer

Share

---

All types

Filters

Study FlashcardsPractice ExamLearn

Question 1

Multiple Choice

Review LaterAdd Note

Review Later

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

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

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

Correct Answer

verified

Show Answer

Question 2

Multiple Choice

Review LaterAdd Note

Review Later

A Marriott hotel is able to charge four times as much as an Econo-Lodge for a room because of the amenities the Marriott offers.These amenities include a swimming pool,room service,exercise equipment,in-room iron,hair dryer and coffee maker and more.The Econo-Lodge provides guests with a clean room to sleep in and little else.Marriott's ability to charge a premium price is the result of its _____ strategy.

A) Defensive
B) Price skimming
C) Neutral
D) Guerrilla
E) Flanking

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

Correct Answer

verified

Show Answer

Question 3

True/False

Review LaterAdd Note

Consumers believe that advertisements in publications like Newsweek,Time and similar magazines have the highest level of credibility.

PIMS (profit impact of marketing strategy) research:

Companies sometimes aim too high in setting improvement targets for nonfinancial measures of performance.Managers tend to make mistakes in this area by assuming:

The wallet allocation rule takes into account both _________ and the number of brands in the set the consumer uses.

The owner of Fiori Flower and Gift Shop has noticed a gradual decline in its number of customers over the last three years.The owner suspects that many of its regular customers are now buying flowers at the newly opened Kroger supermarket.It would be appropriate for the owner to institute _____ marketing.

The owner of Fiori Flower and Gift Shop has noticed a gradual decline in its number of customers over the last three years.The owner suspects that it is experiencing _____ due to the recent opening of a Kroger supermarket in the community.

_______________ is the percentage of a customer's spending within a category that is captured by a given service.

Attracting a new customer is five times as costly as retaining an existing one.

The Net Promoter Score is embraced by virtually all executives,researchers and loyalty experts as the "single most reliable indicator of a company's ability to grow."

Service encounters are among the key drivers of service quality.

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

The _____________ metric is based on the idea that word-of-mouth communication,rather than any other metric,is the best predictor of firm growth and financial performance.

The Net Promoter Score is based on the idea that word-of-mouth communication,rather than any of the other metric,is the best predictor of growth and financial performance.

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

Many companies do not identify and act on the correct non-financial measures.One mistake the companies make is _______ that involves not laying out the cause-and-effect relationships between drivers and strategic success.

All of the following are strategic issues that the wallet allocation rule addresses EXCEPT:

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

In the early 1990s when the US.General Accounting Office (GAO) studied the financial effect of service quality on companies that had won the Malcolm Baldrige National Quality Award,it determined that these elite quality firms benefited in all of the following ways EXCEPT: