Chapter 13 - Services: The Intangible Product

What is the problem associated with service quality standards such as "be nice" or "do what the customers want"? A. They create low expectations. B. They are not specific. C. They do not allow for the voice-of-customer process. D. Most employees are unwilling to do what customers want. E. They create a delivery gap.

B. They are not specific.

By providing good customer service, firms __________ their products or services. A. eliminate the communication gap for B. add value to C. reduce the zone of tolerance for D. reduce the empowerment cost associated with E. increase the perishability of

B. add value to

The __________ gap can be reduced by managing consumers' expectations. A. knowledge B. communication C. delivery D. standards E. empowerment

B. communication

Marketers can take advantage of the variable nature of services by A. merging services with products. B. customizing services to meet customers' needs. C. offering to expedite intangibles. D. expanding the standards gap. E. strict standardization.

B. customizing services to meet customers' needs.

Randall arrived at the hotel to find that, although he had a guaranteed reservation, the hotel had no rooms available. He became angry when the hotel made him a reservation at a more expensive hotel but refused to pay the difference in room rates. Randall was upset because, in his opinion, the hotel's solution did not incorporate A. intangible fairness. B. distributive fairness. C. procedural fairness. D. service fairness. E. empowerment fairness.

B. distributive fairness.

When travelers are bumped from overbooked flights, they are frequently offered vouchers good for future travel. The dollar value of the voucher is the airline's estimate of A. perishable value. B. distributive fairness. C. empowerment. D. procedural justice. E. the size of the knowledge gap.

B. distributive fairness.

When Dr. Horton checked in at the Ritz-Carlton, it was 3 a.m. He had been traveling for over twelve hours and was exhausted. His suit, which he needed for a speech that morning, looked like he had slept in it. Karen, the night clerk, offered to find a 24-hour dry cleaner and have the suit cleaned while Dr. Horton got a few hours of sleep. Karen's actions are an example of A. the variability associated with service quality performance. B. empowering employees to meet customers' needs. C. procedural fairness. D. specific service standards. E. public relations to increase puffery.

B. empowering employees to meet customers' needs.

Effective service recovery entails all of the following EXCEPT A. listening to the customer. B. estimating the damage. C. providing a fair solution. D. resolving the problem quickly. E. all of these are effective service recovery techniques.

B. estimating the damage.

Sam was called in to meet with his boss, Tricia. He was afraid he was going to be fired for the mistake he had made dealing with an important customer of the store. Instead, Tricia explained that he had handled the situation well, listening to the customer and finding a fair solution. Tricia commented, "Even more importantly, working the way you did to correct the error could result in __________." A. a smaller empowerment gap B. increased customer purchases and positive word of mouth C. a full refund for the customer D. a larger service gap E. less instrumental support

B. increased customer purchases and positive word of mouth

When marketers state that services are __________, they are referring to the fact that services are produced and consumed at the same time. A. intangible B. inseparable C. variable D. perishable E. peripheral

B. inseparable

A __________ gap reflects the difference between customers' expectations and the firm's perception of those customer expectations. A. seniority B. knowledge C. standards D. delivery E. communication

B. knowledge

Medical services, assisted living care, and active senior travel are all examples of A. services shifted abroad because costs are lower in developing countries. B. services an aging population will increase their demand for. C. household maintenance activities that people increasingly pay others to perform. D. the price elasticity effect on services demand. E. the ability of empowerment to create tangible service products.

B. services an aging population will increase their demand for.

__________ represents the systems and equipment resources that service providers need to be able to close the delivery gap. A. Service infrastructure B. Quality mechanics C. Instrumental support D. Dynamic support E. Customer interface architecture

C. Instrumental support

Most customers want to achieve a fair solution following a service failure. Which of the following is NOT a factor that affects a person's perceptions of fairness in these kinds of situations? A. The nature or severity of the service failure. B. The customer's experience with other firms. C. The firm's policy on service recovery. D. Observed treatment of other customers. E. Stories of service recovery told by friends and family.

C. The firm's policy on service recovery.

Which of the following is NOT one of the five dimensions used by consumers to determine overall service quality? A. assurance B. reliability C. acceptability D. responsiveness E. empathy

C. acceptability

One of the reasons service failures need to be addressed quickly is to A. minimize the zone of tolerance. B. increase empowerment zones. C. avoid negative word-of-mouth from upset customers. D. avoid a situational ethics conflict. E. keep management from finding out what happened.

C. avoid negative word-of-mouth from upset customers.

Dopson's Hardware was in bad financial shape. It owed so much money that vendors put the store on a cash-only delivery basis. As a result, the store had a dwindling inventory of goods to sell. Whenever a customer asked about an unavailable item, the owner directed the sales staff to say that it was on backorder and would be in stock next week. When the customer returned, the item was still unavailable. The owner's policy created a(n) __________ gap. A. knowledge B. empowerment C. communication D. standards E. tangibility

C. communication

The Gaps model is designed to highlight those areas where A. service providers provide the best possible service. B. manufacturers are cutting corners on product quality. C. customers believe they are getting less or poorer service than they should. D. service providers know more than their customers. E. delivered service exceeds expected service.

C. customers believe they are getting less or poorer service than they should.

In services marketing, the saying, "where the rubber meets the road" refers to whether a(n) __________ gap exists. A. knowledge B. quality C. delivery D. standards E. empowerment

C. delivery

Because services are intangible, it is often difficult for customers to determine how a service meets their expectations, which marketers call A. service perceptions. B. service efforts. C. service quality. D. service aspirations. E. service feedback.

C. service quality.

By setting appropriate service standards and measuring service performance, firms can attempt to close a __________ gap. A. seniority B. knowledge C. standards D. delivery E. communication

C. standards

If there is a difference between the firm's perceptions of customers' expectations and the service standards the firm has set, a __________ gap exists. A. seniority B. knowledge C. standards D. delivery E. communication

C. standards

Gerald's Tire Service provides each employee with a clean, sharp-looking uniform. It also instructs employees to put all tools back where they belong and keep the work area clean and uncluttered. Gerald's Tire Service emphasizes __________ in the five service quality dimensions. A. assurance B. reliability C. tangibles D. responsiveness E. empathy

C. tangibles

The concept of __________ refers to the area between customers' expectations regarding desired service and their minimum levels of acceptable service. A. voice-of-customer programs B. empowerment C. the zone of tolerance D. standards analysis E. quality gap analysis

C. the zone of tolerance

_________ means allowing employees to make decisions about how service is provided to customers. A. Endorsement B. Quality control C. Standardization D. Empowerment E. Authorization

D. Empowerment

A __________ gap can be closed by getting employees to meet or exceed service standards. A. seniority B. knowledge C. standards D. delivery E. communication

D. delivery

A __________ gap is the difference between the firm's service standards and the service it provides to customers. A. seniority B. knowledge C. standards D. delivery E. communication

D. delivery

Saltdust Grill is known as the premier restaurant in town. With their elegant dining area, extensive wine list, and gourmet chef, residents and tourists flock to the restaurant. Recently, Trey took a large group to the Saltdust Grill and almost every diner sent their entrée back to the kitchen. The Saltdust Grill was experiencing a(n) __________ gap in service quality. A. knowledge B. communication C. standards D. delivery E. empowerment

D. delivery

The customers at Marielle's coffee shop want to grab a quick cup of coffee before boarding the commuter train into the city. The sign in the window promises "Quick, In-and-Out Service," and usually Marielle's keeps that promise. But one morning, customers were frustrated when the staff behind the counter showed more interest in gossiping about their social lives than in waiting on customers. Marielle's shop is suffering from a A. knowledge gap. B. standards gap. C. social expectations gap. D. delivery gap. E. communications gap.

D. delivery gap.

Today, almost every sales rep can immediately check the company's inventory and production scheduling electronically. This allows sales reps to sell what is available and make promises to customers that they can keep. This technology has improved service delivery through A. access to a wide variety of services. B. greater control by customers over service delivery. C. increased zone of tolerance. D. greater ability to obtain information. E. saving customers time.

D. greater ability to obtain information.

Colin has been directed by his boss to determine whether their company is meeting customers' service quality expectations. One of Colin's problems is that services are __________, making evaluation of service quality difficult. A. quantifiable B. substantial C. unequally distributed D. intangible E. inconsequential to customers

D. intangible

When confronted with an angry and emotional customer, the best first step toward service recovery is to A. call security in case it is necessary to escort the person from the building. B. match the person's voice in intensity and volume to gain control of the confrontation. C. gently but firmly tell the person you will not tolerate being addressed in that tone of voice and turn away until he or she calms down. D. listen carefully and with empathy until the customer feels he or she has been heard. E. ask a coworker to take over handling the complaint to get a neutral perspective.

D. listen carefully and with empathy until the customer feels he or she has been heard.

By changing a standard from "be nice to customers" to "greet every customer, and if possible by name," a services marketing manager has created a(n) __________ goal. A. insurmountable B. invisible C. empowerment D. measurable E. inseparable

D. measurable

Because services like airline flights and hotel beds are _________, many marketers attempt to match demand with supply using pricing strategies. A. intangible B. inseparable C. variable D. perishable E. accountable

D. perishable

The marketing of services differs from product marketing because services are all of these EXCEPT A. intangible. B. inseparable. C. variable. D. renewable. E. perishable.

D. renewable.

When choosing where to eat lunch, Veronica's major service criterion is speed: being seated promptly and served her meal quickly. For Veronica, __________ is the most important of the five service quality dimensions. A. assurance B. reliability C. tangibles D. responsiveness E. empathy

D. responsiveness

Which of the following is NOT a recommended strategy for service recovery? A. listening to the customer B. finding a fair solution C. resolving problems quickly D. silencing an irate customer before the individual makes any angry outbursts E. following procedural fairness when solving problems

D. silencing an irate customer before the individual makes any angry outbursts

Training service providers to know exactly what a good job entails is setting service A. knowledge. B. quality. C. delivery. D. standards. E. empowerment.

D. standards.

Customers have a defined __________ when it comes to waiting in line at a retail checkout counter. The amount of time consumers are willing to wait varies with the type of store. A. voice-of-customer quotient B. empowerment standard C. tangibles gap D. zone of tolerance E. quality gap

D. zone of tolerance

Nicole knows her restaurant is understaffed today. She is hoping to get through the day without falling below her customers' __________, the difference between what her customers want and what they will accept before going elsewhere. A. voice-of-customer quotient B. empowerment standard C. tangibles gap D. zone of tolerance E. quality gap

D. zone of tolerance

The owners of hotels whose services are produced and consumed at the same time know that consumers do not have the opportunity to try out their service before purchasing. Many hotels use __________ to overcome the problem of inseparability of services. A. promotional discounts B. zone of tolerance allowances C. perishability gap analysis D. point-of-purchase displays E. satisfaction guarantees

E. satisfaction guarantees

__________ refers to the perceived fairness of the process with which a firm handles customer complaints. A. Procedural fairness B. Intangible fairness C. Distributive fairness D. Service fairness E. Empowerment fairness

A. Procedural fairness

Students regularly seek out Professor Guillory to advise them. She has an exceptional manner, and students are confident in her and trust her advice. For these students, __________ is the most important of the five service quality dimensions. A. assurance B. reliability C. tangibles D. responsiveness E. empathy

A. assurance

The service dimension called __________ refers to the ability of the firm's employees to convey trust and confidence. A. assurance B. reliability C. responsiveness D. empathy E. tangibles

A. assurance

A service is any intangible offering that involves a deed, performance, or effort that A. cannot be physically possessed. B. is high-priced. C. is supported solely through advertising. D. can be transformed into a physical product. E. offers benefits but not costs.

A. cannot be physically possessed.

An excellent, inexpensive, and readily accessible method for assessing customers' service expectations is A. customer complaints. B. syndicated data services. C. employee empowerment programs. D. distributive fairness analysis. E. management by objective programs.

A. customer complaints.

Empowerment of employees helps to address the delivery gap because A. employees directly involved with the customer can respond effectively at the moment the problem occurs. B. customers appreciate feeling empowered. C. management then doesn't need to devote time and energy to resolving service delivery problems. D. employees spend less time resolving problems than managers would. E. it ultimately contributes to employee knowledge and retention.

A. employees directly involved with the customer can respond effectively at the moment the problem occurs.

Using technology and __________ are two ways a delivery gap can be reduced in size. A. empowering employees B. variability analysis C. voice-of-customer analysis D. zone of tolerance analysis E. public relations

A. empowering employees

Along the service-product continuum, which of the following would be considered the most product dominant? A. grocery store B. auto repair shop C. doctor's office D. cell phone service provider E. restaurant

A. grocery store

Although firms such as restaurants have difficulty controlling service quality from day to day, they do have control over A. how they communicate the services they promise. B. the price of ingredients. C. the attitudes of customers. D. the way customers view them compared to competitors. E. the knowledge gap consumers create.

A. how they communicate the services they promise.

Barnes & Noble bookstores have computers available for associates to use to search for books requested by customers and to place special orders. These computers are an example of A. instrumental support. B. employee incentives. C. emotional support. D. line extensions. E. the delivery gap.

A. instrumental support.

When marketers say that services are __________, they are referring to the fact that services cannot be touched, tasted, or seen, like a pure product can. A. intangible B. inseparable C. variable D. perishable E. replenishable

A. intangible

David's marketing research returned the finding that customers were staying away from his bookstore because of a lack of services like gift cards, return policies, and special orders. David was shocked. "Nobody ever asks about that stuff! If it were that important, people would ask about it." David is likely suffering from a(n) ________ gap. A. knowledge B. standards C. ethics D. delivery E. communications

A. knowledge

Because customers have different needs and expectations, the key to distributive fairness in service recovery is to A. listen to the customer. B. contact a supervisor quickly. C. estimate the damage. D. provide a fair solution. E. resolve the problem quickly.

A. listen to the customer.

Service employees at the airlines' flight cancellation desks frequently encounter travelers who get emotional about canceled or delayed flights. The first thing these employees should do is to A. listen to the customer. B. contact a supervisor. C. estimate the damage. D. provide a fair solution. E. resolve the problem quickly.

A. listen to the customer.

Because services like cruises and car rentals are perishable, many marketers use A. pricing strategies to match supply with demand. B. service quality to extend the life of the product. C. incentives to encourage staff to deliver according to standards. D. training to standardize delivery. E. machines to replace people for standard transactions.

A. pricing strategies to match supply with demand.

One afternoon, the clerk at the customer service desk of a large retail store got bored and started stating different return policies to each customer. Customers waiting in line and overhearing the different policies would probably feel that the store's handling of returns lacked A. procedural fairness. B. variability. C. organizational fairness. D. intangibility. E. explanatory fairness.

A. procedural fairness.

The new hotel manager asked the chef, "Are you sure you know how to cook a beef Wellington?" Which of the service dimensions was the hotel manager expressing concern about? A. reliability B. responsiveness C. assurance D. empathy E. tangibles

A. reliability

When the delivery of a service fails to meet customers' expectations, a __________ gap exists. A. service B. knowledge C. standards D. production E. communication

A. service

The old cliché, "Service with a smile," recognizes the fact that A. service providers need to be pleasant even if the customer is not. B. smiling is contagious. C. service providers should smile and not think. D. life is too short to be ugly. E. services are perishable but a smile is forever.

A. service providers need to be pleasant even if the customer is not.

Which service gap is the Ritz-Carlton Hotel trying to address when it takes time and spends up to $1,700 to train a new employee? A. standards gap B. knowledge gap C. performance gap D. communication gap E. recovery gap

A. standards gap

Monique was looking for a venue for her wedding reception. When she visited one potential location, she noticed that the landscaping was not complete, and there was stained carpet in the lobby. Which of the service quality building blocks caused Monique to select an alternative venue? A. tangibles B. reliability C. responsiveness D. assurance E. empathy

A. tangibles

Services marketing managers have learned that more employees will support a quality-oriented process if A. they are involved in setting the goals. B. perishable services are replaced with tangible services. C. they are required to diverge from existing standards. D. customers are responsible for setting service quality standards. E. the process involves both part-time and full-time employees.

A. they are involved in setting the goals.

When corporate headquarters announced new service quality standards for pizza franchise owners, Roland knew he would have trouble gaining employees' support because A. they were not involved in setting the goals. B. perishable services were being replaced with tangible services. C. they were not allowed to diverge from existing standards. D. customers were required to create service quality standards. E. the process involved both part-time and full-time employees.

A. they were not involved in setting the goals.

When Jaime arrived at her hotel room and saw that the bed sheets had not been changed from the last hotel guest and there were cockroaches in the bathroom, she chose to go elsewhere. An undone, bug-infested room was not in Jaime's __________, which is the difference between what she really wants and what she will accept before looking for another hotel. A. zone of tolerance B. delivery gap C. zone of intolerance D. service gap E. patience zone

A. zone of tolerance

When John checked into his Orlando hotel, the front desk clerk informed John that his room would not be ready for another twenty minutes. John decided he didn't mind waiting, because he had arrived well ahead of the standard check-in time. John didn't mind waiting twenty minutes because this wait fell within his __________, the area between his expectations regarding desired service and the minimum level of service he will accept. A. zone of tolerance B. delivery gap C. zone of intolerance D. service gap E. patience zone

A. zone of tolerance

Rob was complaining to another member of the lawn crew, "I don't know how they expect me to do an adequate job. The mower doesn't work right, the trimmers are so dull they don't cut anything, and the rest of the equipment is so old we can't get parts." Rob's company lacks the __________ workers need to be able to do a good job. A. maintenance schedule B. instrumental support C. equipment inventory D. service infrastructure E. customer expectation mechanisms

B. instrumental support

Firms can close the __________ gap by matching customer expectations with actual service through use of marketing metrics. A. seniority B. knowledge C. standards D. delivery E. communication

B. knowledge

For years, the Mogul Sheraton, a four-star hotel overlooking the Taj Mahal in India, offered free elephant and camel rides to hotel visitors. Few customers took advantage of this service. This is an example of a __________ gap in services marketing. A. seniority B. knowledge C. standards D. delivery E. communication

B. knowledge

Jackson manages an upscale French restaurant in the Washington, D.C. area. His restaurant offers a few specials each evening in addition to its regular menu. Jackson has trained his waiters and waitresses to report comments and requests for items that have previously only been offered as specials. Jackson uses this information to reduce the __________ gap in services marketing. A. seniority B. knowledge C. standards D. delivery E. communication

B. knowledge

Service providers often encounter rude and unreasonable consumers. Services marketing managers can reduce the delivery gap, even for these customers, by A. empowering consumers. B. providing support and incentives for their employees. C. directing zone of tolerance limits for employees. D. effective customer screening. E. forcing rude customers to use technology.

B. providing support and incentives for their employees.

Cheryl will only let Martiné cut her hair. She has tried other hairdressers, but she knows from experience that Martiné cuts her hair well every time. For Cheryl, __________ is the most important of the five service quality dimensions. A. assurance B. reliability C. tangibles D. responsiveness E. empathy

B. reliability

To meet or exceed customers' expectations, marketers must A. know where customers live. B. know how often consumers buy their products. C. determine what those expectations are. D. recognize that expectations are tangible. E. empower customers to meet their own expectations.

C. determine what those expectations are.

Along the service-product continuum, which of the following would be considered the most service dominant? A. grocery store B. apparel specialty store C. doctor D. bookstore E. restaurant

C. doctor

When marketers state that services are ____________, they are referring to the fact that services are not always of the same quality from one time period to another or from one service provider to another. A. intangible B. inseparable C. heterogeneous D. perishable E. viable

C. heterogeneous

Because of __________, many companies have altered their "no questions asked" return policies to include time limits, restocking fees, and store-credit-only refunds. A. government regulations B. Better Business Bureau guidelines C. high costs D. accounting concerns E. well-publicized liability cases

C. high costs

Food preparation, lawn maintenance, and house cleaning services are all examples of A. services shifted abroad because costs are lower in developing countries. B. services an aging population will decrease their demand for. C. household maintenance activities that people increasingly pay others to perform. D. the price elasticity effect on services demand. E. the ability of empowerment to create tangible service products.

C. household maintenance activities that people increasingly pay others to perform.

Empowerment becomes more important when the service is A. institutionalized. B. repetitive. C. individualized. D. routine. E. standardized.

C. individualized.

Because services are __________, it is often difficult for marketers to convey the benefits to consumers. A. variable B. inseparable C. intangible D. perishable E. substantial

C. intangible

If a firm promises more than it can deliver, A. it has created an empowerment gap. B. consumers will have a knowledge gap. C. it creates a communication gap. D. it needs to enact a voice-of-customer program. E. perishability becomes a problem.

C. it creates a communication gap.

Managers of fast food restaurants struggle with a rapid turnover of personnel. Employee turnover rates of 100 to 200 percent annually are common. The work environment is difficult and customers can often be demanding. One of the first steps managers can take to help workers deliver quality service is to A. ban abusive customers from their restaurants. B. reward service providers based solely on the speed of service. C. provide emotional support and concern for their employees. D. review the delivery support system. E. make sure services delivery expectations are consistent and coherent throughout the organization.

C. provide emotional support and concern for their employees.

After observing a customer verbally abuse a waiter, the first thing a manager can do to ensure quality service is to A. throw the customer out of the restaurant. B. assume the waiter provoked the attack and respond accordingly. C. provide emotional support to the waiter. D. review the delivery support system. E. make sure services delivery expectations are consistent and coherent throughout the organization.

C. provide emotional support to the waiter.

The old restaurant saying, "You are only as good as the last meal served," reflects the fact that services are A. intangible. B. inseparable. C. variable. D. portable. E. viable.

C. variable.

For many professionals offering intangible services, an ethical marketing dilemma exists. The dilemma centers on A. when to advertise versus when to use personal selling. B. which media are appropriate for promoting intangible services. C. which images create a better impression on consumers. D. how to gain clients while retaining an image of professionalism and integrity. E. who should be the spokesperson for professionals offering intangible services.

D. how to gain clients while retaining an image of professionalism and integrity.

Sean moved to take a new job, and when he got sick he needed to find a doctor. He discovered during the visit that he didn't like the one he had chosen, and he knew he'd never go back to that doctor. From a marketing perspective, his situation highlights one of the key differences between products and services, known as A. intangibility. B. professional competence. C. perishability. D. inseparability. E. variability.

D. inseparability.

In countries like the United States, services A. have almost all been replaced by technology. B. are a small portion of GDP relative to manufacturing. C. are replacing property taxes as a source of government revenue. D. will decrease in demand as the population ages. E. account for an increasing share of jobs.

E. account for an increasing share of jobs.

Firms can close a __________ gap by being more realistic about the services they can provide and managing customer expectations. A. seniority B. knowledge C. standards D. delivery E. communication

E. communication

If there is a difference between the actual service provided to customers and the service the firm has promoted, a __________ gap exists. A. seniority B. knowledge C. standards D. delivery E. communication

E. communication

Physicians regularly overstate the expected recovery time from surgery, knowing that managing patients' expectations will reduce the __________ gap associated with their service. A. knowledge B. empowerment C. delivery D. standards E. communication

E. communication

When there is a significant difference between the service customers receive and the service the firm promotes, the firm has a A. knowledge gap. B. standards gap. C. social expectations gap. D. delivery gap. E. communications gap.

E. communications gap.

A(n) __________ gap exists when a firm knows what it needs to do to meet customers' service expectations but sometimes fails to do it. A. knowledge B. communication C. standards D. empowerment E. delivery

E. delivery

When __________ are authorized to make decisions to help their customers, service quality generally improves. A. consultants B. middle managers C. corporate executives D. production control managers E. frontline employees

E. frontline employees

Effective service recovery efforts can lead to all of the following EXCEPT A. increased purchase intentions. B. increased positive word of mouth. C. increased customer satisfaction. D. lower levels of satisfaction than prior to the service failures. E. increased dependence on technology to prevent future service failures.

E. increased dependence on technology to prevent future service failures.

When marketers state that services are __________, they are referring to the fact that services cannot be stored for use in the future. A. intangible B. inseparable C. variable D. durable E. perishable

E. perishable

Yolanda manages a Best Sleep Inn along an interstate highway. She knows from experience that five to ten last-minute customers will call after 8 p.m. each evening looking for a room and asking the price. Yolanda has empowered her staff to offer discounts when the motel is largely vacant and to quote the standard price when the motel is close to full. She knows her service is __________, meaning that if no one stays in the room, it generates no revenue that evening. A. intangible B. inseparable C. variable D. durable E. perishable

E. perishable

Kayla is the new manager of a resort hotel. She knows from reviewing customer complaints that service quality at the hotel is not consistently meeting customers' expectations, and she believes that the biggest problem is that her employees are not sure what is expected of them. To improve service quality, Kayla will A. empower customers to meet their own service needs. B. establish a broad zone of intolerance to reduce customer complaints. C. narrowly define a knowledge gap. D. separate intangibles from tangibles. E. set specific, measurable goals based on customers' expectations.

E. set specific, measurable goals based on customers' expectations.

Many product-dominant firms use quality service A. as a way to minimize the cost of production. B. to support a standards gap. C. as a way to increase the perishability of their products. D. to install a voice of the customer program. E. to maintain a sustainable competitive advantage.

E. to maintain a sustainable competitive advantage.

One approach marketers are using to reduce service __________ is to replace people with machines whenever appropriate. A. intangibility B. inseparability C. spendability D. perishability E. variability

E. variability

Martha had several unpleasant experiences trying to find the merchandise she needed at a large lumber yard and hardware store. The employees—when she could find them—rarely seemed to know where anything was outside of their own departments. But on her most recent visit, she was pleasantly surprised to find that the store had installed kiosks where she could get directions quickly and accurately. The store had found a technological solution to the services marketing issue of A. intangibility. B. part-time employees. C. perishability. D. inseparability. E. variability.

E. variability.

A systematic ____________ program collects customer inputs and integrates them into managerial decisions. A. quality gap analysis B. empowerment C. zone of tolerance D. standards analysis E. voice-of-customer

E. voice-of-customer

Bank of America uses a complex polling system coupled with a customer response measurement system to assess consumers' responses to new products and services. Bank of America is using a(n) __________ program to improve service quality and service offerings. A. quality gap analysis B. empowerment C. zone of tolerance D. standards analysis E. voice-of-customer

E. voice-of-customer