Chapter 13

A restaurant is facing a problem in service delivery on a night when there are twice as many customers dining as usual. An integral part of recovery of the service dilemma is to provide both distributive and procedural _______ in resolving the delays in getting all customers served

fairness

Which of the following is NOT one of the gaps that might be encountered by a service provider in meeting the customer's needs? - financial - delivery - communications - knowledge - standards

financial

When a hotel has a service delivery problem such as a broken air conditioning system on a very hot weekend, one critical element of service recovery is to ______ - ask each customer who complains what they feel would be equitable - offer the customers who complain the most an equivalent number of nights free on a future stay - offer the most frequent customers an equivalent number of nights free on a future stay - find a solution that seems fair to all customers

find a solution that seems fair to all customers

In the provision of a service, there are several possibilities to mismatch the service and customer needs resulting in one of several types of service ________, such as in communications

gaps

Jane has realized that she does not enjoy taking a taxi to work because there is substantial ______ in the delivery of the service depending on who is driving her cab that day.

heterogeneity

Mary went to the local supermarket, where she shopped regularly, to purchase her groceries for the week. Which of the following was a delivery gap that resulted in a service failure by the grocery store? - Mary had to wait a long time in the checkout line because the clerk kept making errors using the cash register - it took Mary a little longer to find what she needed since they recently remodeled the store - Mary had trouble finding the coffee aisle because the signs were unclear - Mary did not find a parking spot that was as close as she wanted to the store

- Mary had to wait a long time in the checkout line because the clerk kept making errors using the cash register

Empowerment of employees would be most important in which of the following service situations? - a bride is unhappy with the hair style the stylist has created on the morning of her wedding - a couple is taking a cruise to celebrate their 50th anniversary on a ship that carries 4000 passengers weekly - a family is reticent to leave their Golden Retriever for neutering at their local vet they have used for years - a patient is nervous about his laser eye surgery with a noted surgeon who has been performing the procedure for nine years

- a bride is unhappy with the hair style the stylist has created on the morning of her wedding

Heterogeneity (variability) in service delivery at a restaurant can result from all of the following EXCEPT _______ - a mix of inexperienced and experienced servers - a server who is usually efficient but sometimes comes to work distracted and in a bad mood - a manager who designs a specific way for all hostesses to accept reservation over the phone - each server performing the service in his or her own particular way

- a manager who designs a specific way for all hostesses to accept reservation over the phone

The use of technology in delivering services is beneficial in all of the following ways EXCEPT ________ - a more focused, narrow array of services - greater information imparted to consumers - providing a competitive advantage over other service providers - lower costs and higher profitability to the firm - more control over the process in the hands of the buyer

- a more focused, narrow array of services

Which of the following situations best evidences how a firm can offer employees emotional support and stand behind the employees' actions? - at a picture framing store, employees are told to ignore unruly, dissatisfied customers and wait on other buyers first - at a dry cleaning store, employees are told not to charge unhappy customers but to enter their name on a "black list" of clients - at the return desk at a large home repair store, employees are taught not to accept any item that is no longer in an unopened package - at a copy center, part-time employees are encouraged to turn over any unhappy customer to the supervisor immediately

- at a copy center, part-time employees are encouraged to turn over any unhappy customer to the supervisor immediately

In which of the following situations is empowerment of front-line employees perhaps too difficult and costly to manage and not necessarily recommended? - at a fast food restaurant drive-through where expediency is critical and activities are fairly routine - at a pet-grooming parlor when a client brings in a dog that is very sick - at an amusement park where a "make-a-wish" child has problems getting into the seat on a car on a very popular ride - at a hotel where the bath rob in the room a floor above leaks causing a flood in the guest's room

- at a fast food restaurant drive-through where expediency is critical and activities are fairly routine

All of the following are ways in which service providers present instrumental support to their staff EXCEPT _______ - technology that enables service staff to identify availability - in-store kiosks with Internet links - state-of-the-art devices that simplify and accelerate the delivery process - technology that enables service staff to determine pricing - comfortable break rooms with high-definition TVs

- comfortable break rooms with high-definition TVs

Services often are perceived as riskier purchases because the customer_______ - has less chance to sample the service before purchase and cannot return it after purchase - cannot return the service if a discount is offered - has to pay full price with no opportunity for discounts - has less opportunity to buy several services at one time and cannot return them

- has less chance to sample the service before purchase and cannot return it after purchase

Services marketing differs from the marketing of products in all of the following ways EXCEPT ______ - perishability - inconvertibility - variability - intangibility - inseparability

- inconvertibility

Firms are able to gain a better understanding of customers' service expectations by engaging in quantitative and qualitative market ______, which can be extensive and expensive. (select all that apply) - metrics - research - statistics - surveys - analytics

- metrics - research - analytics

An important element of offering emotional support to employees is to ____ when they have been empowered to make decisions in dealing with the customer - have ongoing meetings to incorporate what they have done in policy - not punish them should they be "generous" with the buyer - allow them to offer the customer the service for no fee - let them make any decision they want to resolve the issue

- not punish them should they be "generous" with the buyer

Which of the following are reasons for the increased dependence of developed countries on service-oriented economics (select all that apply) - people place a high value on leisure - it is less expensive for firms to manufacture products in less developed countries - people increasing hire people for maintenance-type work that they used to do themselves - people need to seek less-specialized services

- people place a high value on leisure - it is less expensive for firms to manufacture products in less developed countries - people increasing hire people for maintenance-type work that they used to do themselves

Despite having to deal with difficult guests, the service provider can be motivated to provide "service with a smile" when the firm _______ - establishes a policy for the firm that the customer is NOT always right - provides support and incentives to motivate quality service - does not deal with unruly customers and removes them from the service list - provides frequent training programs for employees

- provides support and incentives to motivate quality service

The employees at the Ritz-Carlton are renowned for delivering good quality service to hotel guests. Their behavior is probably due to ____ - the high wages paid to employees - seeing management treating customers well and following the behavior - the fact that customers pay a lot of money and are very demanding - the threat of being fired if a guest complains

- seeing management treating customers well and following the behavior

One factor that differs between products and services is heterogeneity, which can rise from all of the following sources at a hair salon EXCEPT _____ - the service provided by the same hair stylist at different times of day, week, or month - the quality of haircuts provided by two different hair stylists - the cleanliness of the salon at different times of day - the standard price of $25 for men's cuts and $35 for women's cuts

- the standard price of $25 for men's cuts and $35 for women's cuts

Is providing rewards to employees for excellent services a key part of customer service program? Why or why not? - yes, but it depends on whether or not the company culture calls for employees to receive rewards - no, employees should provide excellent service regardless of rewards. employers are already paying for them to provide services - yes, rewards reinforce behavior that encourages employees to continually give great service - no, rewards make the provider perform only in order to get the reward and do not really encourage employees to provide good continuous service

- yes, rewards reinforce behavior that encourages employees to continually give great service

Match each type of service gap with the corresponding way of achieving closure 1) knowledge gap 2) standards gap 3) delivery gap 4) communications gap A) match customer expectations with actual service provided through research B) get employees to meet or exceed service standards C) set appropriate service levels for performance and measure service performance D) be realistic in telling potential buyers about the services that can be provided and manage those customer expectations effectively

1-A 2-C 3-B 4-D

Match an attribute of services with the corresponding definition 1) intangible 2) inseparable 3) heterogenous 4) perishable A) they cannot be stored for late use B) due to the human element, it tends to deviate from use to use C) they cannot be touched, tasted, or seen D) production and consumption occur at the same time

1-C 2-D 3-B 4-A

Match each of the five dimensions of service quality with its definition 1) reliability 2) responsiveness 3) assurance 4) empathy 5) tangibles A) willingness to help customers and provide prompt service B) caring, individualized attention provided to customers C) knowledge and courtesy by employees and their ability to convey trust and confidence D) appearance of physical facilities, equipment, personnel, and communication materials E) ability to perform the service dependably and accurately

1-E 2-A 3-C 4-B 5-D

Customer complain behavior

analyzes the unfulfilled needs of customers in regards to their perceptions of the performed service used to modify future performance

Susan is looking to purchase a cruise to Alaska. In the search process, she discovers that this purchase is different from purchasing an automobile, in that the cruise ______ - is not perishable since she could reschedule the trip for a later date - does not vary from cruise to cruise or across cabins due to the standards set for customer service by the line - cannot be easily separated from the service providers such as the stewards and crew - is primarily tangible since the ship has cabins, excellent food, and recreational facilities

cannot be easily separated from the service providers such as the stewards and crew

If the American Hotel has successfully closed the standards, knowledge, and delivery gaps in providing outstanding service, it is still necessary to close the fourth service gaps, the _______ gap

communications

Since service delivery is not always uniform, it is important for the provider to be sure to close the ________ gap and not promise more in their messages to buyers than they can deliver on a regular basis.

communications

Service quality is defined as _______

customers' perceptions of how well a service meets or exceeds their expectations

Under normal conditions, the hotel never runs out of towels, but during Christmas vacation when the hotel is filled with families, there is a _____ gap and the hotel laundry cannot keep up with the linen usage

delivery

_______ fairness refers to the manner in which customers want to be compensated a fair amount to correct a perceived loss that resulted from a service failure

distributive

When a firm such as Ruth's Chris Steak House tells servers to "use your best judgment" in serving a customer who is not satisfied with his $40 steak, it is allowing the server to make decisions at the point of delivery. This is called ________

empowerment

Since human's work output cannot be standardized to the same degree as the output of a machine, one substantial difference between the marketing of services and products is the _____ of service delivery

heterogeneity

Three of the dermatologist's patients have very different skin problems. Because of the _______ characteristic of services, the doctor needs to customize each patient's diagnosis and treatment

heterogeneity

In addition to providing service employees with emotional and instrumental support, management should offer the staff ______ that reward them for providing customers with good service

incentives

Point-of-purchase surveys

inexpensively collects customer's service perceptions in the process of exchange

Claire's accessory stores sell many girls their first pair of earrings along with the process of piercing their ears. The store tries to create an entire experience for the event, and both the customer and the store employee are integral to the process. Claire relies on the service attribute of ________ as an opportunity to involve the customer and increase perceived value

inseparability

One difference between products and services is demonstrated by a hair salon, where the stylist delivers the service at the same time the customer receives it. This is called _______

inseparability

One of the biggest differences between marketing a service and a product is the ______ of services. The consumer can see and touch a product, such as a laptop computer, but cannot touch the financing program used to purchase the laptop

intangibility

Bill's father is going to have major heart surgery. The uncertainty the family is feeling is in part due to health care services being ________. The patient and his family are not able to precisely measure the quality of his care and treatment

intangible

Susie decided to try a weight loss program by Extreme Fit Foods that promised she could lose 15 points her first week. Susie followed the guidelines exactly and only lost 1 pound the first week. She is planning on cancelling her membership and telling her other friends not to try it. What mistake did Extreme Fit Foods make?

it needs to communicate accurate results information to meet customers' expectations

One of the best ways for managers to reduce the ______ gap is to conduct ongoing research and regularly talk with customers to determine what they expect to get from the brand and the firm

knowledge

The marketing manager needs to communicate with customers and employees on an ongoing basis in order to understand buyer's expectations and to reduce the _______ gap

knowledge

Often an otherwise horrible service delivery failure can be turned around and used to build customer loyalty. To do so, customers must be able to air their grievances and the firm must ________ to them - reduce the price for - reward - listen to - serve him faster

listen to

In the delivery of good service, employees usually take their cue from the attitude and actions of ________, sets policy and have the ability to influence the entire corporate posture on quality service performance

management

The delivery of quality service is the task of everyone in the firm, but the commitment to quality service is established and illustrated best by _______, which establishes policy and sets examples for the entire company

management

Because service providers cannot inventory or stockpile services, such as haircuts, a difficult issue for service providers is that of _______

perishability

United Airlines flies a plan from LA to NY at 8 on Tuesday morning only 25% full. On Friday, the same flight is overbooked by 15%. One of the traits of service marketing is this quality of ______, in which the lights must be delivered on the day scheduled or it is lost

perishability

Although no service provider hopes for a situation of poor service delivery, it can be converted into a situation of building positive interaction and buyer loyalty. The key is to deliver sound, swift, service ____ that resolves the problem and shows the buyer that the firm is listening to the complaint and working to find a fair solution

recovery

Customer ______ needs refers to human or mechanical activities undertaken by firms to help satisfy their customers' needs and wants

service

A kustmoer's expectation might vary substantially for the same service provider based on the _________

situation

Involving employees in setting service performance goals can be very instructive in helping a firm reduce the _____ gap as it increases their input into systematizing the expected output

standards

Joanna learned from customer satisfaction surveys that diners in her restaurant wanted to be able to make substitutions. She has decided to allow substitutions, but has not told all of the servers of this. Joanna is demonstrating a(n) _______ gap, which will cause her restaurant to provide a lower degree of service than she intends

standards

McDonald's has a policy that a drive-through customer will receive his order within 1 minute of paying for the order. This contributes to efforts to reduce the ____ gap and provide measurable service quality based on expectations.

standards

One of the gaps customers experience is a ______ gap, when quality is unreliable because there are no predictable guidelines or benchmarks systematically established by the service provider's management. Consequently, the service employee does not know how to provide the service effectively

standards

When the hotel manager leans that the cleanliness of the bathrooms are not what customers desire for a four-star hotel and the hotel does not change the cleaning policy, there is a ______ gap

standards

A tire store finds that its business is heavily skewed to the weekend and they have less than 15% of customers on Monday through Wednesday. Since rotating, rebalancing, and replacing tires is a service, one of the dilemmas facing the firm is that they cannot _______ the service for the weekend - profit from - overcharge for - predict - stockpile

stockpile

One of the aspects of service provision in recent years that has dramatically changed the delivery of services and improved consistency and efficiency is the use of:

technology

The Service-Product Continuum evidences _______

that most firms combine both goods and services in the offerings

A systematic program that collects customer inputs and integrates them into managerial decisions is a(n) ________-of-customer program

voice