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Chap 5 - MKT202

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1. 1. When customers visit the service site, which factor/(s) E 7. 7. Integrating mobile devices into the service delivery A
must be considered in the design of the service? infrastructure can be used as a means to ____________
a. How expensive the service is. services, ____________ customers to opportunities or
b. Convenience of the location. problems, and ____________ information in real time to
c. Operational hours. ensure that it is continuously accurate and relevant.
d. A & B only. a. Access; alert; update
e. B & C only. b. Complement; alert; conceal
c. Access; attract; conceal
2. 2. _______________ is a key driver of channel choice. B
d. Access; guide; conceal
a. Risk reduction
e. Complement; guide; conceal
b. Convenience
c. Colorful photos of the product 8. 8. ____________ has become a popular way to expand C
d. Internet access delivery of an effective service concept, embracing all
e. Lower prices of the seven Ps, to multiple sites, without the level of
investment capital that would be needed for rapid
3. 3. A truck stop is a good example of a ____________. D
expansion of company-owned and managed sites.
a. centralized control center
a. The Internet
b. single-source facility
b. International trade
c. k-minus strategy
c. Franchising
d. multi-purpose facility
d. Sole proprietorship
e. cash cow
e. Limited partnership
4. 4. Which of the following is NOT one of the factors that A
9. 9. Franchisors usually seek to exercise control over all E
encourage extended operating hours?
aspects of the service performance through tightly
a. Availability of employees to work during "social"
defined ____________.
a. service standards
b. Economic pressure from consumers.
b. procedures
c. Changes in laws.
c. scripts
d. Economic incentives to improve the use of assets.
d. physical presentations
e. Automated self-service facilities.
e. all of the above
5. 5. The four interesting innovations for service delivery B
10. 10. A local presence may be necessary when exporting C
arising from the Internet are all of the following EXCEPT
information-based services for which of the following
a. creation of websites as a delivery channel for
a. Appeasing local citizens.
information-based services
b. Conducting secondary research.
b. DVDs that can store huge amounts of information
c. Building personal relationships.
c. development of "smart" mobile phones linking users to
d. Bargaining for cheaper facilities.
the Internet wherever they are
e. Restructuring out of date systems.
d. usage of voice recognition technology that allows
customers to give information and request service by 11. 11. Service delivery is shifting to arm's length T
speaking into a microphone transactions for many services due to advances in
e. smart card containing a microchip acting as an telecommunications.
electronic purse containing digital money
12. 12. The convenience of service factory locations and F
6. 6. All of the factors below are luring customers into D operational schedules assumes great importance when
virtual stores EXCEPT ____________. a customer has to physically present throughout the
a. potential for better prices service delivery or even just to initiate and terminate the
b. ease of search transaction.
c. broader selection
13. 13. In general, service providers are more likely to visit T
d. opportunities for networking
corporate customers at their premises than to visit
e. 24-hour service with prompt delivery
individuals in their homes.
14. 14. Physical logistics services now find themselves T
competing with telecommunications services. This is a
result of the instantaneous delivery capability of
information-based products.
15. 15. All customers will eventually voluntarily shift from F 25. 32. Which of the following is an example of a franchised A
high-contact delivery environments to new electronic service firm?
channels. a. Saks
b. Wal-Mart
16. 16. The need for economies of scale often restricts T
c. Barnes & Noble
choice of location for service facilities.
d. Starbucks
17. 17. A ministore is a single-site service business that F e. Pier One Imports
involves creating an innovative service factory.
26. 33. Shanghai's Maglev train helps to overcome the T
18. 18. Franchising is not an appealing strategy for growth- F locational constraint of having the airport sited in a far
oriented service firms because franchisees tend to be away place.
less motivated and less concerned about quality than
27. 34. Taco-Bell's K-Minus strategy is an example of an F
managers in company-owned stores.
innovation in locating in multi-purpose facilities.
19. 19. An ongoing problem of franchising is that when T
28. 35. First Direct is an example of a bank with too many F
franchisees gain experience, they may start to feel that
they should not be paying the various fees to the
franchisor. 29. 36. First Direct describes itself as the largest virtual T
bank in the world.
20. 20. People, possession, and information-based services F
have strikingly similar requirements on an international 30. 37. Yellow pages has come up with a global positioning F
distribution strategy. service so that customers can click and download
information to help them get from one place to another.
21. 28. ______________ is an example of a service where the C
main mode of delivery is for the service provider to go
to their customers.
a. Banyan Tree Resorts
b. Barnes and Nobles
c. Royal Flying Doctor
d. Starbuck
e. Dunkin' Donuts
22. 29. Elaborate statistical analysis, in the form of D
____________, is sometimes used to aid decisions on where
to locate supermarkets and similar large stores relative
to prospective customers' homes and workplaces.
a. binary regression
b. cluster analysis
c. structural equation models
d. gravity models
e. predictive models
23. 30. Which one of the following methods is NOT a A
banking service that can be delivered
a. Face-to-face.
b. Internet.
c. Mobile phone.
d. Call centers.
e. All of the above are bank service delivery methods.
24. 31. Firms like Dunkin' Donuts and Subway sharing space C
with quick service restaurants is an example of a(n)
a. single source market
b. economy of scale
c. ministore
d. economy of scope
e. multi-brand strategy