Chapter 1

New Perspectives on Marketing in the Service Economy

1. A useful way to distinguish between goods and services is to place them on a continuum
from ____________ to ____________.
a. practical; impractical
b. tangible-dominant; intangible-dominant
c. low; high
d. reliable; unreliable
e. prepared; unprepared

2. Firms’ market offerings are divided into ____________ and ____________ elements.
a. core product; supplementary service
b. marketing; management
c. product; delivery
d. service; delivery
e. planning; delivery

3. Customers being turned away or having to wait is an implication of which aspect of

services?
a. People may be a part of the service experience.
b. Intangible elements usually dominate value creation.
c. Services are often difficult to visualize and understand.
d. Customers may be involved in co-production.
e. Most services cannot be inventoried.

4. A movie theater seat is an example of _____________.

a. renting durable goods
b.closely engaging customers in the service process
c. renting portions of a larger physical entity
d.the centrality of time to services
e. differences in customer choice criteria

5. Which of the following is the best example of a supplementary service?

a. Appliance maintenance
b.Hotel room rental
c. Fast food consumption
d.House cleaning
e. Landscaping

6. Online educational programs offered by the University of Phoenix are an example of

_____________.
a. revolutionary products/services
b. collective products/services
c. additional services
d. supplementary services
 e. core products/services

7. Give an example of an industry where production and consumption are separable.

8. Give an example of a service that offers labor and expertise rental.

9. Give an example of a service that offers access to physical environments as a form of

rental.

10. Provide an example of a service industry where customers are involved in co-production
and explain the implications and marketing-related tasks that would be associated with
that service.
 Chapter 2
Consumer Behavior in a Services Context

1. The prepurchase stage begins with ____________.

a. perceived risk
b. formation of expectations
c. moments of truth
d. evoked set
e. need arousal

2. Tangible characteristics that customers can evaluate prior to purchase are termed
____________.
a. search attributes
b. experience attributes
c. credence attributes
d. satisfaction attributes
e. capital attributes

3. Reliability, ease of use, and customer support are considered ____________.

a. search attributes
b. experience attributes
c. credence attributes
d. satisfaction attributes
e. capital attributes

4. Characteristics that customers find hard to evaluate even after consumption are termed
____________.
a. search attributes
b. experience attributes
c. credence attributes
d. satisfaction attributes
e. capital attributes

5. Which of the following is NOT a type of perceived risk in purchasing and using services?
a. Functional
b. Permanent
c. Financial
d. Physical
e. Social

6. To develop effective marketing strategies, marketers must understand how people make
decisions about buying and using service and ____________.
a.how they evaluate competitors
b.what determines their satisfaction with it after consumption
c. how often they utilize competitors
d.how often they complain to the service firm
e.the length of their relationship with the service firm
7. Developed nations are seeing increased spending on which of the following services at the
expense of physical goods?
a. Extreme sports
b. Financial advising
c. Urban planning
d. Medical
e. Consulting

8. Professionals such as doctors and lawyers display their degrees and certifications
because ____________.
a.they want to build personal relationships with their clientele and generate a moment
of truth.
b.they want customers to “see” their credentials that qualify them to provide the
service.
c. they want to provide detailed information about their core values.
d.they want to provide a visual example of their prowess and enhance experiential
attributes.
e.These items act as an advertisement that highlights important aspects of their
company.

9. Jan Carlzon, the former CEO of Scandinavian Airlines System, used the ____________
metaphor as a reference point for transforming the airline into a customer-driven
business.
a. service-perspective
b. comparative-analysis
c. systems-of-exchange
d. moment-of-truth
e. great-wall

10. Dental customers ____________ to avoid delays and ensure effective use of dental
professionals’ time.
a. sit quietly in the waiting room
b. commit positive word-of-mouth
c. confirm and honor appointments
d. should get to know hygienists
e. provide accurate histories

11. Describe the servuction system for a high-contact service like an upscale restaurant.

12. How can advertising help reduce customer risk perceptions of a service firm like a credit
card