Services Marketing solved MCQs

1 of 12
chapter:   Unit 1

1. Which of the following sets of terms best describes a service?

a. Objects, devices, and performances

B. Effort, objects, and deeds

c. Things, devices, and performances

d. Deeds, effort, and performances

2. Businesses such as fast food restaurants would fall where along the Scale of Market Entities?

a. On the extreme end of the intangible-dominant side

B. On the extreme end of the intangible-dominant side

c. In the middle of the continuum

d. Left of the middle towards the tangible-dominant side

3. Which of the following fields would be least likely to be described as intangible-dominant?

a. Manufacturing

B. Education

c. Insurance

d. Banking

4. Which of the following statements is not true?

a. Service knowledge is obtained differently than goods knowledge.

B. Firms that define their businesses too narrowly have developed marketing myopia.

c. Goods are tangible-dominant.

d. All of the above are true.

5. The demand for services marketing knowledge has increased for all of the following reasons except:

a. The tremendous growth in service-sector employment

B. Increasing service-sector contributions to the world economy

c. The deregulation of many service industries

d. The decline in service sector jobs

6. Which linkage within The Service Triangle reflects the ease with which a customer uses a bank's ATM?

a. The systems--the customer

B. The service strategy--the customer

c. The systems--the people

d. The service strategy--the systems

7. The market-focused management model, supported by the service triangle, is based on the belief that:

a. Front-line personnel tend to be more knowledgeable

B. Employees want to do good work

c. Customer satisfaction is related to employee turnover

d. A new accounting measures should be used

8. Services are characterized by all of the following characteristics except for:

a. Intangibility

B. Homogeneity

c. Perishability

d. Heterogeneity

9. Of the four unique service characteristics that distinguish goods from services, the one that is the primary source of the other three characteristics is:

a. Intangibility

B. Inseparability

c. Homogeneity

d. Perishability

10. Which of the following is a marketing problem caused by intangibility?

a. Services have no costs of goods sold.

B. The consumer is involved in the production process.

c. Other consumers are involved in the production process.

d. Service standardization and quality control are difficult to achieve.

11. Possible solutions that minimize the problems caused by intangibility include all of the following except:

a. The use of tangible clues.

B. The effective management of consumers.

c. The creation of a strong organizational image.

d. The use of personal sources of information.

12. Marketing problems caused by inseparability include all of the following except for:

a. The service provides physical connection to the service.

B. The involvement of the customer in the production process.

c. Service standardization and quality control are difficult to achieve.

d. The involvement of other customers in the production process.

13. Which of the following scenarios is likely to lead to the highest levels of customer dissatisfaction?

a. Higher demand than maximum available supply

B. Higher demand than optimal supply levels

c. Lower demand than optimal supply levels

d. All of the above scenarios result in customer dissatisfaction

14. Which of the following strategies increases the supply of service available to consumers?

a. The use of creative pricing strategies

B. The use of reservation systems

c. Capacity sharing

d. Developing complementary services

15. Which of the following strategies increases the supply of service available to consumers?

a. Increasing consumer participation

B. The use of creative pricing strategies

c. The use of reservation systems

d. Developing complementary services

16. The perishability-related strategy that may sometimes be associated with consumer feelings that the service firm may be attempting to distance itself from consumers is:

a. The use of reservation systems

B. Training public contact personnel

c. The use of third-parties to conduct service transactions

d. Increasing the amount of consumer participation

17. Which one of the following strategies is used to alter consumer demand?

a. Increasing consumer participation

B. Utilizing third parties

c. Utilizing creative pricing strategies

d. Sharing capacity

18. Which of the following would not be considered a tangible clue?

a. The quality of instruction in an educational setting

B. The appearance of employees

c. The appearance of the firm's physical facilities

d. The quality of paper stock use to produce a firm's brochures

19. The service sector that is the fastest growing sector in terms of employment is:

a. Wholesale and retail trade

B. Transportation and warehousing

c. Financial activities

d. Professional and business services

20. Which of the following features separate services from products?i. Perishability ii Intangibility iii Reliability iv Inseparability

a. Only ii

B. i, ii and iii

c. i, ii and iv

d. ii, iii, and iv

21. Which of the following attributes of services make it difficult for a service provider toevaluate them when compared to goods?

a. High search and experience quality

B. High experience and credence quality

c. High credence and search quality

d. Both b and c

22. Classification of products into goods, services, and ideas is determined by the:

a. Degree of labour intensiveness.

B. Type of markets.

c. Dominant component.

d. Skill of the service provider.

23. Services can be meaningfully analysed by using a five-category classification scheme including type of market, degree of labour-intensiveness, degree of customer contact, skill of service provider, and

a. Degree of competition within the service industry.

B. Goal of the service provider.

c. Market share of the service provider.

d. Employee structure of the service provider.

24. The appearance of the production facilities and the interpersonal skills of actual service providers are critical in __________ services.

a. Low-contact

B. Equipment-based

c. Industrial

d. Nonprofessional

25. The necessary interaction between service provider and customer that allows a service tobe delivered is called

a. Customer contact.

B. Service exchange.

c. Marketing

d. Relationship marketing.


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