服务营销精要英文pptim ESM TB Ch02

SECTION 1COURSE DESIGN AND TEACHING HINTS INTRODUCTIONThis instructor’s resource manual is designed to help you develop and teach a course on services marketing, based on the text, readings, and cases contained in Essentials of Services Marketing, 1st Edition. The manual is divided into five sections:1)Course Design and Teaching Hints2)Teaching Insights for the Chapters3)Case Teaching Notes4)Student Exercises and Projects5)Appendix – Sample Course OutlinesAn electronic file containing each of the color PowerPoint slides created specifically for use with this text is located on the Prentice Hall Web site (accessible only with permission from the publisher) at:Objectives of the ManualThe principal goals of this manual are to:•Discuss the learning objectives for each chapter to facilitate the instructor.•Aid in the preparation and (if desired) serve as a basis for lectures.•Emphasize integration of concepts, frameworks, and real-world practice throughout the book.•Demonstrate links between individual chapters and between chapters or cases to reinforce learning.•Provide brief answers to each of the questions at the end of the chapters.•Suggest ideas for student projects, written assignments, and in-class discussions.•Provide detailed notes on each of the cases in the book.•Propose topics and teaching suggestions for specific class sessions and the sequence in which these sessions might be taught.Additional instructor aids include:• A section on “Developing Your Own Course.”• A note on “Teaching with Cases.”•Two illustrative course outlines, which can serve as a departure point for developing your own course outline.• A note on “Studying and Learning from Cases” for optional distribution to students. Web Site SupplementTo supplement the text, cases, and readings appearing in the book, additional materials, including downloadable cases, will be placed on Prentice Hall’s dedicated Web site for Essentials of Services Marketing as they become available. We encourage you to check this Web site periodically for new materials and other information. The URL is:/Target Teaching AudiencesThe first edition is equally suitable for courses directed at polytechnic students and undergraduates. It may be used for courses in either services marketing or service management. Essentials of Services Marketing, places marketing issues within a broader general management context. The book will appeal both to full-time students headed for a career in management and also to practitioners in the services management area.Framework for Essentials of Services MarketingThe contents of Essentials of Services Marketing reflect the ongoing developments in the service economy, new research findings, and enhancements to the structure and presentation of the book in response to feedback from reviewers and adopters.The framework for the textbook has been divided into four parts:(1) Understanding service products, consumers and markets(2) Applying the 4 Ps to services(3) Managing the customer interface(4) Implementing profitable service strategiesExhibit 1 – 1Integrated Model of Services MarketingCasesEssentials of Services Marketing, First Edition features an exceptional selection of 20 up-to-date, classroom-tested cases of varying lengths and levels of difficulty. We wrote a majority of the cases ourselves. Others are drawn from the case collections of Harvard, INSEAD, and Yale.The selection of cases provides a broad coverage of service marketing issues and application areas, with cases featuring a wide array of industries and organizations, ranging in size from multinational giants to small entrepreneurial start-ups and non-profit organizations.Organization and Sequencing of MaterialsThe chapters are grouped into four parts, each comprising between three and four chapters of text. All the cases are consolidated at the end of the book. The book is designed to give instructors as much flexibility as possible in structuring and sequencing their courses. You will find that periodic cross-referencing of chapters within the text will refer students back to earlier chapters where an important concept was first introduced. Most of the key concepts and frameworks are introduced within the first three chapters and are subsequently employed throughout the book following the chapter in which they first appear. The most central concepts of each chapter are highlighted in bold italic face in the lists under the overview of each book part, below.Part I—Understanding Service Products, Consumers & Markets should be taught first to provide the appropriate foundation for future discussion and analysis. It comprises three chapters that lay out the building blocks for studying services and understanding how consumers behave in a services context. Finally, to ensure that the value proposition is commercially viable, there must be a distinctive and defensible position in the market against competitors. The chapter topics are:Chapter 1: Introduction to Services MarketingChapter 2: Consumer Behavior in a Services ContextChapter 3: Positioning Services in Competitive MarketsKey conceptual frameworks and tools introduced in Part I include:Chapter 1: Introduction to Services Marketing•Definition of services•Distinctive aspects of services marketing•Four categories of Services•The 7Ps of the services marketing mixChapter 2: Consumer Behavior in a Services Context•Three-stage model of service consumptiono Prepurchase stageo Service encounter stageo Post-purchase stage•Service delivery as a form of theater•High and low contact service encounters•Servuction SystemChapter 3: Positioning Services in Competitive Markets•Market segmentation•Positioning maps and strategyPart II—Applying the 4Ps to Services teaches how to create a meaningful value proposition through the development of the service concept and the selection of physical and electronic delivery channels. This is supported by a business model that recovers costs through realistic pricing. Customers must be educated on the value proposition via effective communications. Four of the 7 Ps are dealt with here:Chapter 4— Product elementsChapter 5— Place and time (the where and when of service distribution strategy) Chapter 6— Price and revenue management strategyChapter 7— Promotion and education (communications strategy)Key topics and conceptual frameworks introduced in Part II include:Chapter 4— Product elements•Core and supplementary services•The flower of service—a refinement of the core and supplementary product elements comprising the augmented service product•Service branding•Categories of service innovationsChapter 5— Place and time•Service delivery options•Cyberspace delivery of service elements•Role of service intermediaries•Service franchising•International distribution of servicesChapter 6— Price and revenue management strategy•The pricing tripod—activity-based, cost-based, and competition-based pricing •Different types of costs•Monetary and non-monetary outlays—costs incurred by customers beyond price•Revenue management, inventory buckets, and rate fences•Price elasticity•Ethical concerns and perceived fairness of pricing policies•Implementing service pricingChapter 7— Promotion and education•Role of marketing communications•Challenges of services communications•The marketing communications mix•Implications of the Internet for marketing communication•The role of corporate designPart III—Managing the Customer Interface focuses on how to manage all points at which customers interact with the company. This involves the teamwork between operations and HR to design effective processes, and balance demand against productive capacity. Physical environment issues also need to be dealt. Finally, people and HR strategies must be aligned for outstanding service delivery. In this part, three elements of the 7 Ps related to service delivery are dealt with.Chapter 8—Process (designing and managing service processes)Chapter 9—Balancing demand and productive capacityChapter 10—Physical environment (designing and managing tangible cues)Chapter 11—People (managing frontline staff who interact with customers)Key topics and conceptual frameworks introduced in Part III include:Chapter 8—Process•Basic flowcharting•Blueprinting service design—a more sophisticated and prescriptive form of flowcharting•Service process redesign•The customer as co-producer•Self-service technologiesChapter 9—Balancing demand and productive capacity•Productive capacity—definition and management•Patterns of demand•Demand management•Managing waiting lines and reservations strategiesChapter 10—Physical environment•Servicescapes•Consumer responses to servicescapes•Design of ambient conditions—music, scent, color•Environmental design—signage, symbols, artifacts, spatial layout•People as part of servicescape•Design servicescape holistically from the customer’s perspectiveChapter 11—People•Frontliners as boundary spanners and role conflicts•Cycles of failure, mediocrity, and success in HR management•The Service Talent Cycle•Empowerment of employees•Service teams•Service leadership and culturePart IV—Implementing Profitable Service Strategies focuses on the activities involved in implementing service marketing strategies. First, achieving profitability requires creating customer relationships and building loyalty. Having an effective complaint handling and service recovery strategy aids loyalty building. Second, productivity and quality are necessary for financial success and finally, firms are challenged to remain competitive in a changing world. This part comprises four chapters with the following emphasis:Chapter 12—Managing customer relationships and building loyaltyChapter 13—Complaint handling and service recoveryChapter 14—Improving service quality and productivityChapter 15—Organizing for change management and service leadershipKey topics and conceptual frameworks discussed in Part IV include:Chapter 12—Managing customer relationships and building loyalty•Lifetime value of a (loyal) customer•The Wheel of Loyalty•Tiering of services•Loyalty bonds•Customer defections/churn•Customer relationship management systems (CRM)Chapter 13—Complaint handling and service recovery•Customer complaints and service recovery and systems•Service guarantees•Managing jaycustomersChapter 14—Improving service quality and productivity•Elements of service quality•The GAP model•Hard and soft measures of service quality•Service productivity: efficiency vs. effectiveness•TQM, ISO 9000, Malcolm-Baldrige, and Six SigmaChapter 15—Organizing for change management and service leadership •The Service Profit Chain•Cross-functional integration between marketing, operations, and HR •Service leadership at the human level•Leadership, culture and climateSelecting Cases for Use with Specific ChaptersTo help you identify which cases fit well with specific chapters, please refer to Exhibit 1–2 which follows.Exhibit 1–2SUGGESTIONS FOR CASES TO USE WITH SPECIFIC CHAPTERSDEVELOPING YOUR OWN COURSEThis book gives you plenty of flexibility in putting together a course that will meet your own specific teaching objectives. Many instructors will doubtless choose to use some subset of the materials in the book or to resequence the materials to suit their preferences. Two important considerations in sequencing of materials are (1) to decide when you want to introduce certain key concepts that will be referred to again in subsequent chapters, and (2) to ensure that each module builds logically on the previous one.One option for enhancing your course with updated materials on topics of particular interest to you and your students is to supplement the content of the book with additional readings, which may include topical articles from such management-oriented periodicals as the Financial Times, The Wall Street Journal, Business Week,National Post (Canada), Fortune, Harvard Business Review, and various industry-specific magazines. The business sections of daily and Sunday newspapers often contain interesting stories about local or national service businesses that might serve as a topic for discussion. Good sources of more academically-oriented articles include European Journal of Marketing, International Journal of Service Industry Management, Journal of the Academy of Marketing Science, Journal of Marketing, Journal of Retailing, Journal of the Market Research Society, Journal of Services Marketing, Journal of Service Research, Managing Service Quality, Service Industries Journal, and Sloan Management Review (however, this list does not exhaust the possibilities).Finally, you may be able to enhance the students’ experience by referring them to relevant corporate Web sites that provide insights into strategies that relate to the topic being covered in a specific class. The teaching notes for many of the cases include the address of one or more relevant Web sites.Course Prerequisites•Exposure to introductory marketing management course•Materials on economic and financial analysis in marketing (e.g., break-even analysis)•If students have little exposure to basic marketing, build early lectures around concepts like market segmentation, competitive analysis, consumer decision-making processes and the marketing mixClass Format•Class should ideally be at least 90 minutes. This allows time for a good case discussion and wrap up.Guest SpeakersIn our experience, students enjoy a presentation by a marketing manager from a local service firm. It’s helpful, too, to invite guest speakers to comment on a class discussion of a case that deals with their industry, and then to talk about their own firm, and field student questions. The best way to ensure that a guest speaker is informative in ways that build usefully on the course is to brief the individual in advance, share prior course material with him/her, and—most important of all—ensure that time is allocated for student questions. A “planted” question from the instructor can also help bring out a key insight from the guest speaker.Written AssignmentsSection 4 of the manual provides a variety of exercise that can be used as written assignments for the students. In addition to that, instructors may wish to select one or more of the following:1) Written analyses of cases are assigned on a “rolling report" basis. Each student must select one (or more) of the cases assigned for class and turn in a paper before class. This approach—which we recommend—has the virtue of spreading the instructor’s workload in marking papers and of ensuring that at least a few students are very well prepared for the class in question! Such an assignment could also be coupled with formal in-class presentations.2) Internet-based assignments. Various options are available here, including:a)You assign students to review specific sites related to in-text examples (orexamples of your own).b)You give an assignment offering a restricted choice of sites (e.g., compare andcontrast three bank sites and three consulting firm sites).c)Students are given wide latitude to search the Internet in pursuit of anindividual or group research project.Exams•Cases can be used for midterm and final exams purposes. Three hours is required if administered in a formal exam.•Cases can also be assigned on a take-home basis.•Alternatively, set essay questions based on topics and concepts in the course•Exams can also be substituted by take-home written assignments and term papers based on original research as these may be better indicators ofstudents’ skills, learning and motivation.Evaluation of Students•For active participation, a certain percentage of the course grade can be allocated to class participation.•Possible allocation of marks could be 30 – 40% for class participation, 20 –30% for written assignment and 30 – 50% for a final exam.•For those preferring not to evaluate class participation, a common allocation is 20% for term paper, 40% for midterm exam and 40% for final examTEACHING A COURSE THAT INCLUDES CASESIt’s common to hear of teaching by “The Case Method” as if there were only one way of doing it. In practice, there are many different ways of using cases in a classroom environment and a wide variety of instructor styles.The essence of case teaching is that students and instructors participate in direct discussion of management problems. A case, as one facu lty member described it, “is the vehicle by which a chunk of reality is brought into the classroom to be worked over by the class and the instructor.” Success in this endeavor requires a commitment by both instructor and students to the use of cases as a key-learning tool. Your role as a teacher includes choosing the material for study, setting learning goals for each class, and shaping and facilitating the progress of class discussion. The major onus, however, for learning must be placed on the students.In this brief note, we won’t attempt to produce an in-depth guide to case teaching. Instead, we highlight some of the basic steps that you can take to make students comfortable and motivated in what many of them may perceive as a somewhat different teaching environment to that which they have been accustomed in the past. The remarks that follow are addressed primarily to the beginning case teacher rather than to the well-seasoned instructor.Before the Term BeginsClassroom setup•Seats arranged in a horseshoe or semicircle, with the rows rising in banks behind each other to produce better sight lines is a more appropriate physicalarrangement.•Acoustics should be good to facilitate class discussion without the need for microphones.•Marketing cases seats arranged in a horseshoe or semicircle, with the rows rising in banks behind each other to produce better sight lines. Acousticsshould be good to facilitate class discussion without the need for microphones.• A built-in screen and electrical outlets for overhead projectors, electronic projectors, and videotape players are also desirable features.At the Beginning of the CourseDispelling Student Misperceptions of “Old” Cases•Some of the cases in this book date from 2000, and others are as recent as 2007 or 2008. Students may be misguided and think that only cases publishedwithin the past 12 months can possibly still be relevant.•Experienced instructors address this misconception right at the beginning of the course, recognizing that if they fail to do so, students will not be motivatedto invest time in studying what they see as “outdated” material.• A number of the current best-selling cases from the Harvard Business School collection were written more than a quarter of a century ago.Grading Criteria•At strongly case-oriented schools where cases are used in almost every session of a marketing course, it’s quite common for 40–50% of a student’scourse grade to be based on the quality and quantity of his or her classparticipation, with the balance being derived from written assignments andperformance on the final exam.•We believe strongly that it is the instructor’s responsibility to motivate students to participate in case discussions, to evaluate their performance, andto give individual feedback. Grading student contributions meets these needs.Setting ExpectationsYou should reinforce and expand upon the points in this note by clearly stating your expectations of students in several crucial areas:•Good preparation for each class.•Prompt arrival before each class session begins.•Complete attendance throughout the course.•Regular participation in class discussions.•Attentiveness to other students’ comments.Of course, these expectations will quickly prove unrealistic if the instructor does not set a good example! Consistently begin and finish classes on schedule. Make clear by your own remarks that you have been listening carefully to what students have been saying. Challenge misstatements of fact, wrong numbers, and faulty reasoning—but don’t tea r students down in the process, especially at the beginning of the course when many of them may be feeling nervous and insecure. The challenge is to be supportive in demanding high standards of your students, so that these standards become part of their own value system rather than a goal based upon fear of embarrassment in front of their peers. The first few sessions of a case course can be crucial in terms of establishing the necessary rapport and creating an atmosphere of mutual respect between students and instructor.Getting to Know Students•An important aspect of building this rapport is getting to know your students so that you can both address and refer to them by name.•Some schools make it easier for instructor and students to get to know each other by providing name cards which students can have in front of them; theregistrar may also provide the instructor with class cards containing eachstudent’s name, photograph, and brief biographical details.•If your school has a student picture book, with “mug shots” of all enrolled students, then you may be able to cut and paste each student’s picture ontothat individual’s completed data sheet.•The data sheet is helpful for recording details of students’ class participation. Quantitative WorkOnly a few of the cases in the book can be prepared without any quantitative analysis. Indeed, several cases require a fairly rigorous review of the data in the text and exhibits to determine which numbers are important, credible, and need further manipulation to yield useful managerial insights. So check early in the course that all students are familiar with basic concepts in economic and financial analysis that relate to marketing.As the Term Proceeds•In case courses, feedback needs to be given at two or even three levels: (1) the individual, (2) group projects, if any, and (3) the class as a whole. The qualityof case discussions depends on the performance of all students combined—including both those who participate and those who do not.•Plan on giving regular feedback to the class as a whole about the quality of class discussions. If you feel that the depth of analysis was weak, the breadthof class participation limited, or the arguments lacking in substantiation, thenyou should say so. Similarly, you should acknowledge good performance bythe class as a whole.•Constructive criticism, offered in a supportive manner, will motivate the class and make students want to perform well as a member of a larger group. Goodquality discussions should also be recognized. Praise, used selectively,highlights what has been done well and should stimulate equal or even betterperformance in the future.•Feedback to individual students is a separate, albeit related task. It usually takes several weeks or more before you can make reasonable judgments abouta student’s overall caliber as a classroom participant.•An outstanding contribution can be publicly acknowledged (“That was an excellent insight, Anna!”) but it’s usually more productive to counsel weakperformers out of class. One exception to this generalization concernsindividuals who persist in making poor use of class time. If you don’t bringthem up short, this inaction on your part may signal to other students that theirinstructor is really indifferent to the quality of class discussion.•Frequent participation does not necessarily mean high-quality contributions and students should understand that. You have to moderate the class shouldthe speaker go off tangent in a discussion.•The greater the weight that you place on participation as an input to grading, the more likely you are to have students making office appointments andasking you, “How am I doing?” By making good notes on each student’s datasheet or class card concerning their participation (if any) in each class, youwill be better placed to offer individual students useful evaluations of theirclass performance as well as advice for improvement.•You may want to consider sending a personal memo midway through a course to each participant containing general comments about their progress in thecourse.•Group projects or pre-assigned presentations are often a good way of involving students who find it hard to make spontaneous comments in class.In addition to providing a change of pace in the classroom, this pedagogicaldevice has the advantage of forcing students to get involved with the caseinstead of just maintaining a highly detached position.Obtaining Feedback•Feedback should be a two-way street. As an instructor, you should be seeking feedback from your students as well as giving it to them.•Feedback should already be obtained midway through the term as it may indicate a need to make adjustments to either course content or your teachingapproach during the balance of the course.•Responses to a midterm evaluation form should be anonymous. The questions can usefully cover several points. You can ask students to rate each case on afive-point scale in terms of its contribution to their learning. It’s important tolink case evaluation to learning, because otherwise students will tend to focussimply on whether they enjoyed the class discussion or found the topic to bepersonally interesting.•If you want more specific feedback, allow room for additional comments on specific cases; however, experience suggests that only a limited number ofstudents will take the time to explain their ratings.•You should also ask for open-ended comments or suggestions on the conduct and progress of the course to date.•Additional useful feedback, especially for an instructor who is relatively new to case teaching, is to invite a more experienced colleague to sit in andobserve one or more of your classes. Another form of feedback is to audiotapeor videotape the class for subsequent review.In summary, case teaching is a demanding but exciting approach to education. Many instructors find it a challenging and rewarding experience and we hope that you will, too.Sample Form - Student Data Sheet[Course Title]TO: Participants PHOTOFROM: [Instructor’s Name] DATE:To help me to get to know you better, would each of you please complete this information sheet and return it as soon as possible?Name and AddressFull Name__________________________________________________________ What first name/nickname do you prefer to be called by? ____________________ Local Mailing Address_______________________________________________Email____________________________________ Phone________________ Career Interests and Areas of Special ExpertiseWhat career interests/plans do you have after graduation?_______________________________________________________________________ _______________________________________________________________________ What full-time jobs (if any) have you held?Employer Location Job Title(s) Dates _______________________________________________________________________ _______________________________________________________________________ _______________________________________________________________________ Do you have special knowledge of any industries? Which? _______________________ Degree(s) SoughtWhich degree(s) are you currently studying for? _______________________________ Degree(s) previously obtained______________________________________________。

Chapter 10Crafting the Service EnvironmentGENERAL CONTENTMultiple Choice Questions1. Service environments, also called ____________ relate to the style and appearance ofthe physical surroundings and other experiential elements encountered by customers at service delivery sites.a.service planesb.servicescapesc.service boxesd.servicetomiese.service vaults(b; Easy; p. 254)2. The field of ____________ studies how people respond to specific environments.anizational behaviorb.marketingc.environmental psychologyd.strategic managemente.financial management(c; Moderate; p. 256)3. In environmental psychology the typical outcome variable is ____________ or____________ of an environment.a.service; repurchaseb.control; reproachc.control; avoidanced.control; sensibilitye.approach; avoidance(e; Moderate; p. 257)4. The two dimensions of Russell’s model of affect are ____________ and____________.a.centrality; dominanceb.pleasure; arousalc.centrality; permanenced.pleasure; regrete.fullness; looseness(b; Moderate; p. 257)5. The ____________ complex a(n) ____________ process becomes, the more powerfulis its potential impact on ____________.a.more; affective; cognitionb.more; cognitive; affectc.less; cognitive; servicesd.less; affective; cognitione.less; cognitive; affect(b; Challenging; p. 257)6. If a service environment is inherently ____________, one should avoid increasing____________ levels, as this would move customers into the “distressed” region of Russell’s model.a.pleasant; arousalb.pleasant; excitementc.pleasant; relaxationd.unpleasant; arousale.unpleasant; excitement(d; Moderate; p. 258)7. Which of the following is NOT one of the dimensions of the service environment?a.Exterior facilitiesb.General infrastructurec.Store layoutd.Interior displayse.Location(e; Moderate; p. 258)8. Which of the following is an ambient condition?a.Facility layoutb.Displaysc.Musicd.Locatione.Price(c; Easy; p. 260)9. Of the following, which is NOT an ambient condition that irritates shoppers accordingto Alain d’Astous?a.Store is too smallb.Store is not cleanc.Too hot inside the store or the shopping centerd.Music inside the store is too loude.Bad smell in the store(a; Moderate; p. 267)10. Of the following, which is NOT an environmental design condition that irritatesshoppers accordi ng to Alain d’Astous?a.Arrangement of store items is always the same.b.No mirror in the dressing room.c.Unable to find what one needs.d.Directions within the store are inadequate.e.Store is too small.(a; Moderate; p. 268)True/False11. Service consumers use service environment as an important quality proxy. (True; Easy; p. 254)12. Servicescapes help to shape the desired feelings and reactions in customers andemployees.(True; Easy; p. 255)13. In practice, the large majority of service encounters are routine, involving a highlevel cognitive processing and little affect.(False; Moderate; p. 257)14. Ambient conditions refer to those characteristics of the environment pertaining to ourfive senses.(True; Easy; p. 260)15. Functionality refers to the floor plan, size and shape of furnishings, counters, andpotential machinery and equipment, and the ways in which they are arranged. (False; Easy; p. 263)16. The use of orange is commonly associated with its ability to encourage verbalexpression.(True; Moderate; p. 263)17. Spatial layout refers to the ability of items to facilitate the performance of servicetransactions.(False; Moderate; p. 263)18. Signs are frequently used to teach and reinforce behavioral rules in service settings. (True; Easy; p. 264)19. The appearance of both service personnel and customers can reinforce or detractfrom the impression created by the service environment.(True; Moderate; p. 265)20. Marketing communications attempt not to attract customers who will enhance theambiance with their presence because of potential legal ramifications.(False; Moderate; p. 366)Short Answer21. What are the three important ways in which the service environment and itsaccompanying atmosphere impact buyer behavior?As a message-creating medium, an attention-creating medium, and an affect-creating medium.(Moderate; p. 254)22. What is the primary focus of the Mehrabian-Russell Stimulus-Response Model?It shows that feelings or affect are central to how we respond to environmentalstimuli to which we are exposed.(Moderate; p. 256)23. What are the three stages of the Mehrabian-Russell Stimulus-Response Model?The three stages are environmental stimuli, affect, and response.(Moderate; p. 256)24. List the four key things that signs can be used for in a servicescape.Labels, giving directions, communicating the service script, and behavioral rules. (Challenging; p. 264)25. List the four tools that managers can use to guide their design of the service process.Careful observation, feedback and ideas from frontline staff and customers, fieldexperiments, and blueprinting.(Moderate; p. 268)Essay26. Describe the challenge inherent in using signs, symbols, and artifacts in aservicescape and discuss when this task is particularly important.The challenge for servicescape designers is to clearly guide customers through the process of service delivery and teach the service process in as intuitive a manner as possible. This task is particularly important where there are a high proportion of newor infrequent customers and/or a high degree of self-service. Customers become disoriented and frustrated when they cannot derive clear signals from a servicescape. (Moderate; p. 264)27. Describe what is meant by an holistic view of a service environment and provideexamples.Designers must consider the total service experience when designing servicescapes.Consumer response is based on a reaction to the total service experience, not individual aspects of the service. For example, a beautifully stained hardwood floor is not perfect flooring if it does not match its surroundings. The service may be attempting to generate a deliberately grungy look as in the case of some teen clothing stores and a high-class floor would look out of place.(Moderate; p. 266)APPLICATION CONTENTMultiple Choice Questions28. According to Adrian North, the key to driving unwanted people away is____________.a.unfamiliaritywsc.direct recoursed.indirect recoursee.segmentation(a; Easy; p. 261)29. Which of the following fragrances would you use to boost energy levels and helpmake customers feel happy and rejuvenated?a.Lemonb.Black peppervenderd.Eucalyptuse.Rose(a; Moderate; p. 262)30. Which of the following is the best example of problems created by inappropriatecolor usage?a.Blue chairs in Canadab.Black bags in Londonc.Yellow cars in Switzerlandd.Green buses in Israele.Red buses in London(d; Moderate; p. 263)31. The Hong Kong Tourism Board used ______________ to create harmony amongelements and ensure that people feel good in the environment.a.scentb.colorc.feng shuid.musice.spatial layout(c; Easy; p. 264)32. The term ____________, used by Dennis Nickson and his colleagues, would mostapply to sales associates at Victoria’s Secret or Cal vin Klein.a.restricted laborb.value-added laborc.functional labord.aesthetic labore.synergistic labor(d; Challenging; p. 265)True/False33. Facing competition from numerous casinos in other locations, Las Vegas has beentrying to reposition itself away from being an adult destination to a somewhat more wholesome family fun resort.(True; Easy; p. 255)34. According to the Mehrabian-Russell Stimulus-Response Model, people avoidcrowded environments because there of the number of people rather than beingdeterred by the unpleasant feeling of crowding, people being in the way, or lacking perceived control.(False; Easy; p. 256)35. A spa environment should be designed with low arousal and high pleasantness. (True; Challenging; p. 257)36. Fast music environments have been shown to generate more revenue and getcustomers to spend longer amounts of time in an environment than slow musicenvironments.(False; Moderate; p. 261)37. Staff acting as Cinderella, or seven drawfs at Disney theme parks are part of theservice environment.(True; Moderate; p. 265)Short Answer38. Describe how movie theaters in the United States are responding to fallingattendance.Several upstart boutique chains have buildings with different theme and havelavishly decorated bars and restaurants and supervised playrooms for children. (Moderate; p. 255)39. Discuss how the United Kingdom uses music to discourage jaycustomers in thesubway system.The strategy is to play classical music that is apparently painful to vandals’ andloiterers’ ears.(Moderate; p. 261)40. Describe one of the two examples from the book that show a link between scent andincreased spending.Gamblers put more quarters in slot machines when a Vegas casino was scented witha pleasant artificial smell. (People were willing to pay around $10 more for Nikesneakers when they tried them on in a floral scented room.)(Moderate, p. 262)41. A community center that designs classrooms in a U-shaped manner to facilitatebringing people together is considering which aspect of crafting the serviceenvironment?Spatial layout.(Easy; p. 263)42. List the five guidelines for parking design described in the chapter.Provide friendly warnings, keep paint fresh, provide safety lighting, providematernity parking, and help customers remember where they parked their vehicle. (Moderate; p. 265)Essay43. Describe how Spain’s Guggenheim Museum in Bilbao designs its servicescape toattract visitors.The design of the building communicated several different kinds of messages to its audience. It is shaped like a ship and blends in with the environment of the river.The museum is a mixture of regular forms built in stone and curved forms made of titanium, and huge glass walls for natural light to penetrate the museum. Because of the glass walls, visitors inside the museum can see the surrounding hills. The titanium panels outside have been arranged to look like fish scales, in keeping with the image of being by the Nervion river. Outside the museum, a 43-foot-tall shaped structure of a “topiary terrier” (a breed of dog), made up of pots of fresh pansies (flowers) greets visitors. There is also a huge spider sculpture called ‘Maman’ done by the Louise Bourgeoris, the twentieth-century leading sculptor, who was born in Paris but made her home in New York. Even the design of the galleries is meant to hint at what visitors can expect inside. The shapes of the galleries and the content of the galleries complement each other.(Challenging; p. 256)44. Describe the design flaws of the Jordan Sheraton Hotel.The new Sheraton Hotel, located in Jordan, opened without clear signage that would guide guests from the ballrooms to the restrooms. Existing signs were etched in muted gold on dark marble pillars, likely causing them not to stand out.Unfortunately, more obvious signs might not have been deemed appropriate because of the focus on elegant décor. There is certainly a tradeoff that was made in this case. (Moderate; p. 267)45. Describe the design flaws of the new airport lounge in a major Asian city.At the new airport lounge, a series of connected glass panels hung from the ceiling, which luggage would regularly catch on, causing the panels to shake and disconnect.The designers did not consider the extent of foot traffic through the area when laying out the servicescape.(Moderate; p. 267)。

Chapter 6Setting Prices and Implementing Revenue Management GENERAL CONTENTMultiple Choice Questions1. Which of the following is NOT an objective for service pricing?a.Build supply.b.Build demand.c.Seek profit.d.Cover costs.e.Build a user base.(a; Easy; p. 136)2. ____________ recognizes that resource expenses are linked to the variety andcomplexity of goods and services produced and not just on physical volume.a.Break-even analysisb.Variable costc.Fixed costd.Activity-based costinge.Semi-fixed cost(d; Moderate; p. 138)3. ____________ is defined as the sum of all the perceived benefits minus the sum of all the perceived costs of service. valueb.Consumer surplusc.Gross valued.Moderate valuee.Consumer demand(a; Moderate; p. 140)4. ____________, also known as customized or personalized pricing, refers to the practice of price discrimination.a.Critical ratio pricingb.Dynamic pricingc.Collective pricingd.Fixed pricinge.Classical pricing(b; Easy; p. 142)5. Which of the following intensifies price competition?a.Non-price-related costs of using competing alternatives are high.b.Wider distribution of competitor and or substitution offers.c.Personal relationships have been established.d.Switching costs are high.e.Customer need for time and location specificity.(b; Moderate; p. 146)6. Which of the following reduces price competition?a.Increasing the number of competitors.b.Increasing the number of substituting offers.c.Wider distribution of competitor and/or substitution offers.d.High switching costs for consumers.e.Increasing surplus capacity in the industry.(d; Moderate; p. 146)7. Revenue management is the most effective when applied to firms characterized by allthe following conditions EXCEPT ______________.a.perishable inventoryb.relatively fixed capacityc.varying customer price sensitivityd.fixed inventorye.variable demand(d; Moderate; p. 147)8. Price elasticity is computed as ____________.a.percentage change in demand / percentage change in priceb.percentage change in price / percentage change in demandc.percentage change in supply / percentage change in priced.percentage change in demand / percentage change in supplye.percentage change in price / percentage change in supply(a; Moderate; p. 149)9. Which of the following is NOT an example of a non-physical fence?a.Time or duration of use.b.Group membership.c.Service level.d.Flexibility of ticket usage.e.Location of reservation.(c; Challenging; p. 151)10. Putting service pricing into practice includes thinking of all the following questionsEXCEPT ____________.a.What should be the specified basis for pricing?b.How much to charge?c.What kind of customers should be charged more?d.Who should collect payment?e.When should payment be made?(c; Easy; p. 158)True/False11. Pricing is less complex in services than it is in manufacturing.(False; Easy; p. 136)12. Customers will often pay more for services than they think they are worth. (False; Easy; p. 140)13. Because quality is subjective, all customers have the expertise to assess the qualityand value they receive.(False; Moderate; p. 140)14. Business owners often fail to recognize the fixed costs that need to be recouped whenproviding service.(False; Challenging; p. 141)15. Customers often incur significant financial costs in searching for, purchasing, andusing a service, above and beyond the purchase price paid to the supplier. (True; Easy; p. 141)16. Shopbots help consumers combat dynamic pricing online.(True; Moderate; p. 142)17. Shopbots collect price and product information from multiple electronic vendors andprovide it to consumers.(True; Easy; p. 142)18. Psychological costs relate to unpleasant sensations affecting any of the five senses. (False; Moderate; p. 144)19. Firms do not need to consider post-purchase costs, as they occur after the firm hasalready secured a purchase.(False; Moderate; p. 144)20. Firms that are always reacting to competitors’ price changes run the risk of pricinghigher than might really be necessary.(False; Moderate; p. 146)Short Answer21. What three components are considered in a pricing strategy?Costs, competition, and value to customer.(Moderate; p. 137)22. What are the four distinct categories of non-monetary costs?Time costs, physical costs, psychological costs, and sensory costs.(Moderate; p. 143)23. Under what situations can price competitions be reduced?Some situations that reduce price competition are: when non-price-related costs of using competing alternatives are high; when personal relationships matter; when switching costs are high and when time and location specificity reduces choice. (Moderate; p. 146)24. What are rate fences? Provide examples to aid your explanation.Rate fences can be either physical or non-physical. Physical fences refer to product differences that may be due to different prices, such as the seat location in a theatre, or the size and furnishing of a hotel room. Non-physical fences refer to consumption, transaction or buyer characteristics. For example, they include staying a certain length of time in a hotel, playing golf on a weekday afternoon, cancellation or change penalties, or booking a certain length of time ahead.(Moderate; p. 150)25. How can firms have revenue management practices and yet still have customersatisfaction, trust and good will?They can design such that price schedules and fences are clear, logical and fair. High published prices should be used, and fences should be framed as discounts rather than surcharges. The benefits of revenue management should be communicated to custom er. Bundling is also a way to ‘hide’ discounts. Loyal customers should be taken care of first, and finally, there should be service recovery procedures in place to make up for overbooking.(Challenging; p. 156)Essay26. Discuss how service firms can minimize non-monetary purchase costs.Service firms have several options available for reducing the non-monetary costs associated with service purchases. Operations experts can assist in reducing the time required to complete purchases, delivery, and consumption. Psychological costs can be reduced by eliminating or redesigning unpleasant or inconvenient procedures, educating customers, and retraining staff to be friendlier and more helpful. Physical efforts can be reduced during either the search or delivery process. More attractivevisual environments, reduced noise, more comfortable furniture and curtailing offensive smells can decrease sensory costs.(Challenging; p. 143)27. Describe the concept of price elasticity and draw a graph comparing consumers withhigh and low elasticity.Price elasticity refers to the amount of impact price has on sales. Consumers are said to be price elastic if small changes in price result in large changes in sales.Consumers are said to be price inelastic if price has little effect on sales. Figure 6.16 depicts a comparison of these two groups.(Moderate; p. 149)APPLICATION CONTENTMultiple Choice Questions28. Which of the following is NOT a firm that uses dynamic pricing?e.All of the above firms use dynamic pricing.(b; Moderate; p. 134 & 142)29. Which of the following is NOT listed in the chapter as a firm that uses online reverseauctions?d.Lowestfare.All of the above use online reverse auctions.(c; Moderate; p. 142)30. The amount of seats reserved for each class of American Airlines passengers on aflight is referred to as a ____________.a.fieldb.rowc.columnd.buckete.gamble(d; Moderate; p. 148)31. Which of the following is the best example of a service industry that utilizes pricecomplexity?a.Fast foodcationc.Cellular phoned.Moving/transportatione.Roofing(c; Moderate; p. 153)32. Which of the following is the best example of a service firm that attracts customerswith low base prices and then piles on additional fees.a.Rental carsb.Fast foodcationd.Roofinge.Consulting(a; Moderate; p.153)True/False33. is a good example of a firm that aggravated its customers with dynamicpricing.(True; Moderate; p. 142)34. is a good example of a firm that successfully generated more revenue byimplementing dynamic pricing.(True; Moderate; p. 142)35. Airlines, hotels, and car rental firms are not very good at varying prices in responseto the price sensitivity and needs of different market segments.(False; Moderate; p. 147)36. Yield management computers can determine who is likely to not show up or takeother flights.(True; Easy; p. 147)37. Freight companies often use a combination of distance and weight or shape of parcelas a basis to price their services.(False; Easy; p. 158)Short Answer38. Name two e-tailers that utilize traditional auction models.eBay and Yahoo!(Moderate, p. 142)39. Give an example of a tradeoff between monetary and non-monetary costs associatedwith patronizing a dental clinic.Paying a higher price for closer proximity or a shorter wait.(Easy; p. 145)40. Draw a graph of the relationship between price per seat on an airline and demand forseats. Label each price bucket.See Figure 6.18.(Challenging; p. 152)41. Relate fairness perceptions to DVD rental late fees.Late fees for DVD rentals should not exceed the potentially lost revenue from rental fees during the late period if fairness perceptions are considered. (Challenging; p. 155)42. Describe how rate fences should be used in a hair salon service.Rate fences may be perceived as less fair if they are framed as surcharges instead of discounts. A hair salon should thus set a higher weekend price and offer a discount for weekday service.(Moderate; p. 156)Essay43. Describe how airlines utilize revenue management to enhance profitability.Revenue management involves setting prices according to predicted demand levels among different market segments. Airlines utilize massive databases on past travel to forecast demand and attempt to allocate optimal capacity to the least price sensitive segments. For example, business travelers pay higher prices for booking flights closer to travel dates, whereas vacationers book in advance. Higher demand travel dates also garner higher prices.(Challenging; p. 148)44. Give an example of a service firm that uses service recovery to compensate foroverbooking and discuss how the firm compensates.A Westin beach resort frees up capacity by offering guests who are departing thenext day the option of spending their last night a luxury hotel near the airport or in the city at no cost. Guests gain variety and experience luxury that delights. The hotel benefits by relieving needed capacity in exchange for a small cost.(Moderate; p. 157)45. Discuss how a health club could strategically manage capacity via paymentschedules.Member usage patterns seem to be closely related to payment schedules. Members seem to use the health club in the month immediately following payment and then steadily decline in usage until the next payment. Members with monthly payment plans use the facilities with greater frequency. This indicates that capacity could be reduced and profits maintained by charging annual fees that are due outside of peak months.(Moderate; p. 160)。

contents •服务营销概述•服务营销策略•服务营销组合•服务质量管理•服务营销团队建设•服务营销的未来趋势目录服务营销的定义与特点定义特点服务营销的重要性提升顾客满意度和忠诚度优质服务能够提高顾客满意度和忠诚度，促进口碑传播和重复购买。

增强企业竞争力服务营销有助于企业形成差异化竞争优势，提高市场份额和盈利能力。

促进企业可持续发展通过关注顾客需求和提供优质服务，企业能够建立良好的品牌形象和声誉，实现可持续发展。

萌芽阶段形成阶段发展阶段030201服务营销的发展历程无形性、异质性、不可分离性、不可存储性。

市场调研、服务设计、服务测试、服务推广。

服务线、服务项目、服务特色、服务品牌。

服务质量标准、服务质量评估、服务质量改进。

服务产品的特点服务产品的开发服务产品的组合服务产品的质量服务定价的影响因素服务定价的方法服务定价的策略服务定价的调整01020304服务渠道的类型服务渠道的选择服务渠道的拓展服务渠道的管理服务促销策略服务促销的目标服务促销的方式服务促销的组合服务促销的效果评估产品（Product）01价格（Price）02地点（Place）03促销（Promotion）服务推广和宣传策略，包括广告、公关、销售促进和直接营销等。

人员（People）服务人员的态度、技能和知识，以及服务团队的组织和管理。

过程（Process）服务交付的过程和流程，包括服务标准、服务质量和服务效率等。

有形展示（Physical Eviden…服务环境和设施的设计、布局和装饰，以及与服务相关的有形物品和资料。

无形性异质性同时性易逝性服务不能像有形产品那样存储和运输，具有时间上的限制。

灵活性互动性定制化餐饮业酒店业服务质量提升策略服务创新策略通过提高服务质量和服务效率来提升顾客满意度和忠诚度。

服务品牌营销策略服务质量的概念与特点服务质量的概念服务质量是指服务满足规定和潜在需求的特征和特性的总和，是指服务工作能够满足被服务者需求的程度。

Chapter 5Distributing Service through Physical and Electronic Channels GENERAL CONTENTMultiple Choice Questions1. When customers visit the service site, which factor/(s) must be considered in thedesign of the service?a.How expensive the service is.b.Convenience of the location.c.Operational hours.d. A & B only.e. B & C only.(e; Moderate; p. 113)2. _______________ is a key driver of channel choice.a.Risk reductionb.Conveniencec.Colorful photos of the productd.Internet accesse.Lower prices(b; Moderate; p. 116)3. A truck stop is a good example of a ____________.a.centralized control centerb.single-source facilityc.k-minus strategyd.multi-purpose facilitye.cash cow(d; Moderate; p. 119)4. Which of the following is NOT one of the factors that encourage extended operatinghours?a.Availability of employees to work during “social” hours.b.Economic pressure from consumers.c.Changes in laws.d.Economic incentives to improve the use of assets.e.Automated self-service facilities.(a; Moderate; p. 120)5. The four interesting innovations for service delivery arising from the Internet are all ofthe following EXCEPT _____________.a.creation of websites as a delivery channel for information-based servicesb.DVDs that can store huge amounts of informationc.development of “smart” m obile phones linking users to the Internet wherever theyareage of voice recognition technology that allows customers to give informationand request service by speaking into a microphonee.smart card containing a microchip acting as an electronic purse containing digitalmoney(b; Moderate; p. 121)6. All of the factors below are luring customers into virtual stores EXCEPT____________.a.potential for better pricesb.ease of searchc.broader selectiond.opportunities for networkinge.24-hour service with prompt delivery(d; Moderate; p. 124)7. Integrating mobile devices into the service delivery infrastructure can be used as ameans to ____________ services, ____________ customers to opportunities or problems, and ____________ information in real time to ensure that it is continuously accurate and relevant.a.Access; alert; updateplement; alert; concealc.Access; attract; conceald.Access; guide; concealplement; guide; conceal(a; Moderate; p. 124)8. ____________ has become a popular way to expand delivery of an effective serviceconcept, embracing all of the seven Ps, to multiple sites, without the level of investment capital that would be needed for rapid expansion of company-owned and managed sites.a.The Internetb.International tradec.Franchisingd.Sole proprietorshipe.Limited partnership(c; Easy; p. 126)9. Franchisors usually seek to exercise control over all aspects of the serviceperformance through tightly defined ____________.a.service standardsb.proceduresc.scriptsd.physical presentationse.all of the above(e; Easy; p. 126)10. A local presence may be necessary when exporting information-based services forwhich of the following reasons?a.Appeasing local citizens.b.Conducting secondary research.c.Building personal relationships.d.Bargaining for cheaper facilities.e.Restructuring out of date systems.(c; Moderate; p. 129)True/False11. Service delivery is shifting to arm’s length transactions for many services due toadvances in telecommunications.(True; Easy; p. 112)12. The convenience of service factory locations and operational schedules assumesgreat importance when a customer has to physically present throughout the service delivery or even just to initiate and terminate the transaction.(False; Moderate; p. 113)13. In general, service providers are more likely to visit corporate customers at theirpremises than to visit individuals in their homes.(True; Moderate; p. 113)14. Physical logistics services now find themselves competing with telecommunicationsservices. This is a result of the instantaneous delivery capability of information-based products.(True; Moderate; p. 116)15. All customers will eventually voluntarily shift from high-contact deliveryenvironments to new electronic channels.(False; Moderate; p. 116)16. The need for economies of scale often restricts choice of location for servicefacilities.(True; Moderate; p. 118)17. A ministore is a single-site service business that involves creating an innovativeservice factory.(False; Moderate; p. 118)18. Franchising is not an appealing strategy for growth-oriented service firms becausefranchisees tend to be less motivated and less concerned about quality than managers in company-owned stores.(False; Easy; p. 126)19. An ongoing problem of franchising is that when franchisees gain experience, theymay start to feel that they should not be paying the various fees to the franchisor. (True; Easy; p. 127)20. People, possession, and information-based services have strikingly similarrequirements on an international distribution strategy.(False; Moderate; p. 127)Short Answer21. List the six options for service delivery (three natures of interaction between thecustomer and service organization; two availabilities of service outlets) and provide an example of a service that falls into each category.Single Site Multiple Sites Customer goes to the service organization theater bus serviceService organization comes to customer house painter mail deliveryArm’s length credit card telephone (Moderate; p. 112)22. Describe arbitrage in the context of service provider pricing.Arbitrage in service refers to customers taking information or benefits from an expensive service and then placing an order with another, less-expensive service. (Challenging; p. 116)23. Give an example of a service with a locational constraint.Ski resorts need to be in the mountains (beach resorts need to be at the beach). (Moderate; p. 117)24. List the five factors that encourage extended operating hours.Economic pressure from consumers, changes in laws, economic incentives toimprove the use of assets, availability of employees to work during “unsocial” hours, and automated self-service facilities.(Challenging; p. 120)25. List two of the four service delivery innovations facilitated by technology that aredescribed in the chapter.1) Development of “smart” mobile phones and PDAs, and Wi-Fi high-speed Internet,2) usage of voice recognition technology, 3) creation of Web sites that provideinformation, take orders and deliver information, and 4) commercialization of smart cards containing microchips that store detailed customer information. (Moderate; p. 121)Essay26. Describe the three ways information-based services can be distributed internationallyand give an example of each.Information-based services can be exported to a local service factory. Movies made in the United States are often shown in other countries. Customers can also be imported to receive information-based services, as in the case of universities. The other way information-based services can be distributed internationally is via telecommunications export and then local transformation. This is how major credit cards like Visa are able to offer customers financial services abroad. (Moderate; p. 129)27. Discuss the impacts of the cost globalization driver on people processing, possessionprocessing, and information-based processing service categories.People processing may be affected by cost because of variable labor rates in labor-intensive services. There would be a large difference in the cost of running a service in a third-world country versus a developed nation. Variable labor rates may alsoaffect possession processing, as in automotive services. Skilled labor may bedifficult to come by, as in Somalia, or may be abundant, as in Germany. Major cost elements of information-based services can be centralized and minor cost elements localized.(Challenging; p. 119)APPLICATION CONTENTMultiple Choice Questions28. ______________ is an example of a service where the main mode of delivery is forthe service provider to go to their customers.a.Banyan Tree Resortsb.Barnes and Noblesc.Royal Flying Doctord.Starbucke.Dunkin’ Donuts(c; Moderate; p. 113)29. Elaborate statistical analysis, in the form of ____________, is sometimes used to aiddecisions on where to locate supermarkets and similar large stores relative toprospective customers’ homes and workplaces.a.binary regressionb.cluster analysisc.structural equation modelsd.gravity modelse.predictive models(d; Challenging; p. 113)30. Which one of the following methods is NOT a banking service that can be deliveredremotely?a.Face-to-face.b.Internet.c.Mobile phone.d.Call centers.e.All of the above are bank service delivery methods.(a; Moderate; p. 116)31. Firms like Dunkin’ Donuts and Subway sharing space with quick service restaurantsis an example of a(n) ____________.a.single source marketb.economy of scalec.ministored.economy of scopee.multi-brand strategy(c; Moderate; p. 118)32. Which of the following is an example of a franchised service firm?a.Saksb.Wal-Martc.Barnes & Nobled.Starbuckse.Pier One Imports(a; Easy; p. 126)True/False33. Shanghai’s Maglev train helps to overcome the locational constraint of having theairport sited in a far away place.(True; Moderate; p. 117)34. Taco-Bell’s K-Minus strategy is an example of an innovation in locating in multi-purpose facilities.(False; Moderate; p. 118)35. First Direct is an example of a bank with too many branches.(False; Moderate; p. 123)36. First Direct describes itself as the largest virtual bank in the world.(True; Moderate; p. 123)37. Yellow pages has come up with a global positioning service so that customers canclick and download information to help them get from one place to another. (False; Moderate; p. 125)Short Answer38. Give an example of a firm where the service provider visits the customers.Compass Group, the largest food service organization in the United Kingdom and Ireland.(Moderate; p. 113)39. What kind of service can DHL offer to its B2B and B2C clients?It can store and arrange for express delivery of spare parts for aircraft (B2B delivery).They can pick up defefctive cell phones from customers’ homes and return therepaired phone to the customer (B2C pick up and delivery).(Challenging; p. 115)40. Give two examples of firms that locate themselves in multi-purpose facilities.1) Laundromats, toilets, ATMs internet access, restaurants and inexpensive hotels inat truck stops 2) Oil companies with small retail stores that sell car supplies, food, and household products.(Moderate, p. 119)41. What are the three options for exporting people processing services?Export the service concept, import customers, or transport customers to newlocations(Challenging; p. 127)42. Give an example of a firm that imports customers to its service facility.Vail ski resort in Colorado (any specialist hospital).(Easy; p. 128)Essay43. Describe Aggreko’s core business with specific reference to which of the six servicedelivery options they employ.Aggreko describes itself as “The world leader in temporary utility rental solutions.”They provide mobile generators, oil-free air compressors, and temperature control devices to businesses and governments around the globe. They would be categorized as “Service organization comes to customer” and “Multiple Sites” because they maintain 100 depots in 28 countries, while serving customers in 60 countries. (Moderate; p. 114)44. Describe the key drivers of how consumers choose between personal, impersonal,and self-service channels.Complex and high-perceived risk services, people tend to rely on personal channels.Higher confidence and knowledge about a service and/or the channel are more likely to lead to use of impersonal and self-service channels. Customers who look for the instrumental aspects of a transaction prefer convenience that also leads to impersonal and service channels. Customers with social motives tend to use personal channels.The most convenient channel is also the most likely to be selected. (Challenging; p. 116)45. How do service processes affect international market entry for people processing,possession processing and information-based service categories?For people processing services, the service provider needs to have a local geographic presence, stationing the necessary personnel, buildings, equipment, vehicles and supplies within reasonably easy reach of target customers. For possession-processing services, a local presence is required when the supplier must come to repair or maintain objects in a fixed location. This is regardless of whether customers drop off items at a service facility or personnel visit the customer’s site. For information-based services, this includes two categories, mental processing service and information processing services. They are the most interesting from the point of view of global strategy development. Data is transmitted or changed to create value.In theory, none of the information-based services require face-to-face contact with customers.(Challenging; p. 129)。

Chapter 13Complaint Handling and Service RecoveryGENERAL CONTENTMultiple Choice Questions1. Which of the following is NOT one of the options customers take when they aredissatisfied with a service encounter?a.Take legal action.b.Vent their anger on the service equipment.c.Do nothing.plain to the service firm.e.Give negative word of mouth.(b; Easy; p. 340)2. Which of the following is NOT one of the reasons why customers complain that islisted in the book?a.Better understand the failureb.Vent their angerc.Help improve the serviced.Obtain restitution or compensatione.For altruistic reasons(a; Easy; p. 341)3. On average, what percentage of customers complains when they are unhappy withservice?a.0 percentb.5–10 percentc.15–25 percentd.30–50 percente.60–75 percent(b; Easy; p. 341)4. ____________ involves the employees of the firm who provide the service recoveryand their behavior toward the customer.a.Procedural justiceb.Legal justicec.Interactional justiced.Relational justicee.Outcome justice(c; Moderate; p. 342)5. Which of the following is NOT one of the guidelines provided for the Front Line onhow to handle customer complaints?a.Consider compensationb.Keep the customer informed of progressc.Explain the problem from the service firm’s point of viewd.Ack nowledge the customer’s feelingse.Act fast(c; Moderate; p. 344)6. The ____________ refers to the sometimes-observed effect that customers whoexperience a service failure and then have it resolved to their full satisfaction are more likely to make future purchases than are customers who have no problem in the first place.a.referent renewal paradoxb.referent contribution paradoxc.referent acquisition paradoxd.service recovery paradoxe.service renewal paradox(d; Challenging; p. 346)7. Effective service recovery procedures should be ____________, ____________,____________, and ____________.a.proactive, engaged, universal, empoweredb.planned, engaged, universal, trainedc.proactive, planned, trained, empoweredd.trained, engaged, flexible, spontaneouse.trained, engaged, universal, empowered(c; Moderate; p. 347)8. All EXCEPT which of the following are reasons that service guarantees are powerfultools for both promoting and achieving service quality?a.Guarantees reduce consumer complaining, increasing customer satisfaction andinformation from customers.b.Guarantees force firms to focus on what their customers want and expect in eachelement of the service.c.Guarantees set clear standards, telling customers and employees alike what thecompany stands for.d.Guarantees b uilding “market muscle” by reducing the risk of the purchasedecision and developing long-term loyalty.e.Guarantees force service organizations understand why they fail and encouragethem to identify and overcome potential fail points.(a; Challenging; p. 351)9. Which of the following is NOT one of the criteria that service guarantees should bedesigned to meet?a.Easy to understand and communicateb.Meaningful to the customerc.Conditionald.Easy to invokee.Credible(c; Easy; p. 354)10. All of the following are jaycustomers EXCEPT ___________.a.The Cheatb.The Rule Breakerc.The Belligerentd.The Deadbeate.The Hooligan(e; Moderate; p. 356)True/False11. Complaining behavior can be influenced by role perceptions and social norms. (True; Moderate; p. 341)12. People in lower socioeconomic levels are more likely to complain than those inhigher levels.(False; Moderate; p. 341)13. Procedural justice concerns the compensation that a customer receives as a result ofthe losses and inconveniences incurred because of a service failure.(False; Moderate; p. 342)14. Interactional justice involves the employees of the firm who provide the servicerecovery and their behavior toward the customer.(True; Easy; p. 342)15. Service recovery is an umbrella term for systematic efforts by a firm to correct aproblem following a service failure and retain a customer’s goodwill.(True; Easy; p. 343)16. Proper service recovery can be accomplished by making it easy for customers to givefeedback, enabling effective service recovery, and establishing appropriatecompensation levels.(True; Easy; p. 346)17. Service recovery efforts should be fairly rigid to makes sure the same recovery isachieved each time.(False; Moderate; p. 350)18. Compensation should be based on the positioning of the firm, the severity of thefailure, and who the specific affected customer is.(True; Moderate; p. 350)19. Service guarantees are always appropriate.(False; Easy; p. 354)20. A jaycustomer is defined in the book as one who acts in a thoughtless or abusive way,causing problems for the firm, its employees, and other customers.(True; Easy; p. 356)Short Answer21. What are the three main response options for customers who experience servicefailures?Take public action, take private action, or take no action.(Moderate; p. 340)22. What is procedural justice?It concerns the perceived fairness of the policies and rules that any customer willhave to go through in order to seek fairness.(Moderate; p. 342)23. What is the true impact of a customer defection?When a dissatisfied customer defects, the firm loses more than just the value of the next transaction. It may also lose a long-term stream of profits from that customer. In addition, I may lose profits from anyone else who switches suppliers or is stopped from doing business with that firm because of negative comments from an unhappy friend.(Moderate; p. 345)24. Explain what is meant by “the service recovery paradox.”The service recovery paradox occurs when customers are more satisfied following a failure and recovery than if no failure had occurred at all.(Moderate; p. 346)25. Explain a situation where a service firm should not implement a service guarantee.Firms that currently have poor or uncontrollably variant service performance should not implement service guarantees because they will have to enact the serviceguarantee more frequently than might be profitable.(Easy; p. 355)Essay26. Discuss the four common service recovery mistakes made by organizations.The first mistake managers make is disregarding evidence that shows that service recovery provides a significant financial return. This is generated by a focus on cost cutting and failing to respect and retain their customers. Another mistake is failing to invest enough in actions that would prevent service issues. Here again, cost is a key driver, limiting training and education. Poorly trained front-line staff is not capable of performing necessary service recoveries. A third mistake is when customer service employees fail to display good attitudes. Customers respond to the attitudes of the employees they encounter. Poor attitudes decrease the effectiveness of other recovery efforts like recompense. The final mistake is that organizations make it difficult to complain or give feedback. Complaints help organizations recognize problems with their services and also allow for recovery attempts.Limiting complaints reduces customer retention and allows faulty service procedures to continue unchecked.(Challenging; p. 345)27. Explain what is meant by a “combined guarantee.”Combined guarantees stem from the ambiguity inherent in traditional “full satisfaction” guarantees. The guarantee combines the wide scope of a full satisfaction guarantee with the low uncertainty of specific performance standards.The combined guarantee was shown to be superior to the pure full satisfaction or attribute-specific guarantee designs. Specific performance standards are guaranteed, but should the consumer be dissatisfied with any other element of the service, the full satisfaction coverage of the combined guarantee applies.(Moderate; p. 355)APPLICATION CONTENTMultiple Choice Questions28. Which of the following services best represents how little complaining consumersactually do?a.TARPnd’s Endc.Hampton Innd.FedExe.A public bus company(e; Easy; p. 341)29. How many failures can a service firm commit before the recovery paradox is wipedout?a.One failureb.Two failuresc.Three failuresd.Four failurese.Five failures(a; Moderate; p. 346)30. Which of the following is NOT one of the elements of effective service recovery?a.Do the job right the first timeb.Seek alternative recompense strategiesc.Identify service complaintsd.Resolve complaints effectivelye.Learn from the recovery experience(b; Moderate; p. 346)31. When Marriott Long Wharf Hotel faces the situation of overbooking, all of thefollowing are steps to recover the situation EXCEPT ____________.a.upgrade the guest to a suiteb.helping the guest get a room in another hotelc.giving the guest money to pay for the cab fared.giving the guest complimentary continental breakfaste.call the guest later at the other hotel to make sure he is alright(a; Moderate; p. 348)32. Recent research shows that the amount of a guarantee payout has no effect onconsumer cheating. Which of the following is one of the important managerialimplications of this?a.Guarantees can be restricted to new customers because of the propensity forrepeat customers to cheat.b.Guarantees can be kept low to prevent rewarding cheaters.c.Managers can reap the marketing rewards of higher guarantees without increasedpayouts due to consumer cheating.d.Managers cannot expect to recover the difference in guarantees for different typesof consumers.e.Guarantee levels can be used to dissuade consumer cheating.(c; Moderate; p. 360)True/False33. Customers who complain are more likely to be white-collar workers than blue-collarworkers.(True; Moderate; p. 341)34. Hampton Inn’s 100 percent satisfaction guarantee is a good example of a serviceguarantee that goes wrong and hurts a firm’s financial performance.(False; Moderate; p. 351)35. Conditional guarantees are more effective.(False; Moderate; p. 354)36. The Cheat is the kind of jaycustomer who delays payments.(False; Moderate; p. 359)37. Hampton Inn has developed a way to identify guests who appear to be cheating andgive them a lot of personalized attention and follow-up from the company. (True; Easy; p. 360)Short Answer38. Who are airline customers most likely to complain about an unsatisfactory meal?Flight attendants.(Easy; p. 342)39. The story about the desk clerk at the Marriott Long Wharf Hotel in Boston is a goodexample of what aspect of effective service recovery?Planned service recovery.(Challenging; p. 348)40. How function does a service guarantee serve for firms?It is one way for particularly customer-focused firms to institutionalize professional complaint handling and effective service recovery.(Moderate; p. 350)41. Give an example of a single attribute-specific guarantee.Any of three popular pizzas that guarantee they will be served within 10 minutes of ordering on weekdays between 12:00 a.m. and 2:00 p.m.(Moderate, p. 355)42. Give an example of a full-satisfaction guarantee.Land’s End guarantee: “If you are not completely satisfied with any item you buy from us, at any time during your use of it, return it and we will refund your fullpurchase price.”(Moderate; p. 355)Essay43. Describe the three complaint barriers for dissatisfied consumers and explain how afirm can reduce these barriers.Inconvenience, doubtful payoff, and unpleasantness are the three key barriers to complaining. Inconvenience consists of difficulty in finding the right complaint procedure or the effort involved in the procedure. Firms can reduce inconvenience through customer service hotlines, e-mail addresses, phone book listings, brochures, etc. Doubtful payoff refers to a consumer’s belief that complaining will result in any positive response. Minimizing doubtful payoff can be accomplished by having solid and recognized service recovery procedures in place. Service improvements that result from customer feedback should be prominently featured. Unpleasantness results from fear of being treated poorly, being hassled, or feeling embarrassed.Firms can reduce these fears by thanking customers for feedback, training the frontline staff not to hassle or belittle customers, and through allowing anonymous feedback.(Challenging; p. 347)44. Describe a service guarantee offered in the chapter that instills confidence and onethat does not.The LL Bean Guarantee represents a total service guarantee that is not limited to certain components of the service or qualified by situational factors. Their guarantee instills consumer confidence allowing customers to return anything purchase at any time if it proves to be not what is expected.The Merchants Home Loan Guarantee exemplifies the opposite policy. Their policies are conditional. There are many obligations that the customer has to bear as well, in the loan transaction, just as the company has responsibilities. For example, to determine the level of service received, there are guidelines like the customer was educated and understood the loan process, the closing documents were reviewed prior to closing, the customer was treated courteously etc.(Challenging; p. 352)45. Discuss the perceived advantages of Hampton Inn’s 100 percent satisfactionguarantee.The guarantee provides many advantages to Hampton Inn. Customers like itbecause they are confident that they will be satisfied. Another important aspect is that it helps managers identify new opportunities for quality improvement. Inessence, it increased the pressure and exposed leaks in the system, providingfinancial incentives to fix the holes. Ultimately, the guarantee has helped generate increased consistency across the service delivery for Hampton Inn and allowed for much greater customer retention.(Moderate; p. 360)。

Chapter 11Managing People for Service AdvantageGENERAL CONTENTMultiple Choice Questions1. From the customer’s perspective which of the following is the most important aspectof service?a.Management’s responsiveness to occurrences of failure.b.Timely delivery of service.c.Efficient handling of special requests.d.The encounter with service staff.e. A fair price.(d; Moderate; p. 278)2. Service employees are important to customers and competitive positioning, becausethe front line ____________.a.is the most visible part of the firmb.contains more employees than managementc.is often the first to deal with customer complaintsd.is better trained at dealing with customers than are managerse.all of the above(a; Easy; p. 278)3. Emotional labor is when employees ____________.a.find it hard to be emotional because they are too overworkedb.have a gap between what they feel inside, and what management expects them todisplay to their customersc.have to keep their emotions under control at the work placed.feel happy all the time because they enjoy their jobse.are emotionally stressed by all the demands of their jobs(b; Challenging; p. 281)4. Training is most effective at reducing ____________.a.person/role stressanization/client conflictc.interclient conflictd.interorganizational conflicte.intraorganizational conflict(a; Moderate; p. 281)5. Outcomes of the “Cycle of Failure” for firms include ____________ and____________.a.low service quality; low employee turnoverb.low service quality; high employee turnoverc.high service quality; low employee turnoverd.high service quality; high employee turnovere.mediocre service quality; unpredictable employee turnover(b; Easy; p. 282)6. The “Cycle of Failure” includes all of the following EXCEPT ____________.a.emphasis on rulesb.emphasis on attracting new customersc.adequate pay and job securityd.low skill levelse of technology to control quality(c; Moderate; p. 282)7. Companies that engage in a “Cycle of Success” are more likely to have which of thefollowing?a.Happier employeesb.More loyal customersc.Higher profit marginsd.Better wagese.All of the above(e; Easy; p. 284)8. Employees should be trained in all these areas EXCEPT ____________.anizational cultureanizational revenuec.service knowledged.interpersonal skillse.product knowledge(b; Easy; p. 289)9. A strategy of empowerment is most likely to be appropriate when which of thefollowing factors are present within the organization and its environment?a.The business strategy is not too customizedb.The organization uses routine technology.c.The business environment is stable.d.Customer interactions are relational as opposed to transactional.e.All of the above.(d; Moderate; p. 292)10. The definition of a team includes all of the following EXCEPT ____________.a.have complementary skillsb.are committed to a common purposec.have well-rounded personalitiesd.hold themselves mutually accountablee.have a set of performance goals(c; Challenging; p. 293)True/False11. Employee satisfaction typically has little impact on customer satisfaction. (False; Easy; p. 278)12. E-mail and telephone service interactions are just as visible as face-to-faceinteractions.(True; Easy; p. 278)13. Boundary spanners work in some of the most demanding jobs in service firms. (True; Moderate; p. 280)14. Customer contact personnel have to attend to both operational and marketing goalsand this causes person/role conflict.(False; Moderate; p. 280)15. The “Cycle of Mediocrity” is most often found in large, bureaucratic organizationslike regulated oligopolies.(True; Moderate; p. 283)16. Great references from past employers are not a form of behavioral observation. (False; Moderate; p. 288)17. Interpersonal skills include visual communication, attentive listening, and bodylanguage and tend to be specific to each service setting.(False; Moderate; p. 289)18. Technical skills encompass all the required knowledge related to processes. (True; Easy; p. 289)19. Empowerment is suitable for all situations.(False; Moderate; p. 292)20. Suggestion involvement empowers employees to make recommendations throughformalized channels.(True; Moderate; p. 293)Short Answer21. What are the three main causes of role stress in frontline positions?Person/role, organization/client, and interclient conflicts.(Moderate; p. 280)22. What are the three levels of employee involvement?Suggestion involvement, job involvement, and high involvement.(Moderate; p. 293)23. What is job content?Job content is when employees are satisfied just by knowing that they are doing a good job.(Moderate; p. 295)24. How should goals be designed, so that they are effective?Achieving important goals is a reward in itself. Goals that are specific, difficult but achievable, and accepted by the staff are strong motivators. They result in higher performance than no goals, or unclear goals (e.g., ‘do your best’), or goals that are impossible to achieve. In short, well communicated and mutually accepted goals are effective motivators.(Challenging; p. 296)25. Define service culture.A service culture includes shared perceptions of what is important in an organizationand shared values and beliefs of why those things are important.(Moderate; p. 296)Essay26. Discuss why call centers are important or unimportant to customer perceptions ofservice firms. Give an example to back up your argument.Call centers can play a critical role in customer perceptions of a service firm. This is particularly important for remote service firms like credit card companies. The call to the service center may be the only time the customer interacts with personnel from the company. That interaction may frame the customer’s entire perception of the firm with one call. It is also likely that the customer is calling because of a problem or special request. Handling that one problem or request well could be the difference between retaining and losing the customer.(Moderate; p. 278)27. How can firms build a strong service culture?A strong service culture is one where the entire organization focuses on the frontline, and understands that it is the lifeline of the business. They practice the inverted pyramid, which shows that the role of top management and middle management is to support the frontline in their task of delivering service excellence to their customers. In firms with a passion for service, top management is informed and actively involved. They achieve this by regularly talking to and working with frontline staff and customers, even spending time serving customers themselves.(Moderate; p. 298)APPLICATION CONTENTMultiple Choice Questions28. Cora Griffth has nine rules of success for excellent service as a waitress. Theyinclude all of the following EXCEPT ____________.a.getting things right the first timeb.listening firstc.anticipating customers’ wantsd.treating customers like familye.taking pride in one’s work(a; Challenging; p. 277)29. One of Ritz-Carlton’s hiring principle is ____________.a.maintain a tight knit groupb.hire people with the right personalityc.“training, training, training”d.customer service is firste.new hires lead the way(b; Moderate; p. 288)30. Excellent service firms use all of the following to identify the best job candidatesEXCEPT ____________.a.observing behaviorb.conducting personality testsc.interviewing applicantsd.viewing transcriptse.providing applicants with realistic job previews(d; Easy; p. 288)31. If a Nordstrom sales associate replaces shirts at no cost to the client, it is an exampleof ____________.a.centralized decision-makingb.service theftc.employee empowermentd.service sabotagee.rule setting(c; Easy; p. 292)32. Singapore Airlines uses teams for all of the following EXCEPT ____________.a.train staffb.provide emotional supportc.assess staffd.promote staffe.mentor cabin crew(a; Moderate; p. 294)True/False33. According to John Wooden, “Too often, the big talkers are the big doers.”(False; Moderate; p. 288)34. The Ritz-Carlton uses personality profiles to select the best applicants.(True; Moderate; p. 288)35. Training in Dial-a-Mattress includes showing staff how to create images in the customers’ minds.(True; Challenging; p. 290)36. All employees are eager to be empowered.(False; Challenging; p. 293)37. Southwest Airlines illustrates a high-involvement company.(True; Moderate; p. 293)Short Answer38. The suggested salary to attract top performers is in the range of what percentile of themarket?The range is from the 65th to 80th percentile.(Moderate; p. 286)39. Give two reasons for using multiple interviewers?Multiple interviewers reduce the risk of “similar-to-me” biases and people are more careful in their evaluations when they know someone else is evaluating the sameapplicant.(Challenging; p. 288)40. Give an example of a company where applicants get to work for two paid days priorto final selection interview.Au Bon Pain(Moderate, p. 289)41. Give an example of an organization that helps company’s build a service culture.Up Your Service! College.(Moderate; p. 291)42. What is the key philosophy of Singapore Airlines?The team concept, or teamwork.(Easy; p. 294)Essay44. How is Cora Griffith’s work strategy indicative of the “Cycle of Success?”Cora Griffith’s nine rules of success exemplify the “Cycle of Success.” She is enthusiastic about her job and develops outstanding service relationships with both existing and new customers. Her philosophy is marked by listening to customers, anticipating their needs, maintaining efficiency, and continuing to learn. She gives credit to the owners of the caféfor showing her the value of customer care. This agrees with the “Cycle of Success” tenets of hiring and retaining motivated employees that provide higher quality, customer-pleasing service. (Challenging; p. 276 & 284)43. Discuss the causes and implications of low-pay/high turnover human resourcestrategies.Failure to measure all relevant costs is a key contributor to the cycle of failure. A firm saves money on pay, but loses money through employee and customer channels.Inherent in high turnover situations are the costs of constant recruiting, hiring, and training costs. New employees are also less productive than seasoned employees due to learning curves. Attracting new customers costs much more than retaining current customers because of continued advertising and promotional campaigns. (Challenging; p. 282)45. Describe how Disney selects the right people.Disney is comprised of a multitude of frontline and behind-the-scenes employees.As such, they categorize employees by their potential for on-stage or backstage work.On-stage refers to cast members who are assigned roles that require an appearance,personality, and skill that matches a desired presentation to customers (e.g. playing Snow White at a Disney theme park). Backstage are likewise suited for their positions (e.g. computer operators). Each is selected for their jobs based on intrinsic qualities that cannot be taught.(Moderate; p. 286)。

Chapter 1Introduction to Services MarketingGENERAL CONTENTMultiple Choice Questions1. There are several reasons why the services sector is increasing in almost all countriesaround the world. Which is not one of the contributing reasons?a.The knowledge-based industries are growing.b.Countries are less dependent on agriculture.c.Some manufacturing firms are now focusing on marketing services as well.d.The construction and manufacturing industries are booming.e.More companies are outsourcing some of their service components.(d; Moderate; p. 6)2. Service markets are shaped by all of the following except ____________.ernment policiesb.social changesc.global economic changed.business trendse.advances in information technology(c; Easy; p. 9)3. The following are all business trends transforming service markets except____________.a.push to increase shareholder valueb.growth of franchisingc.new agreements on trade in servicesd.marketing emphasis by non-profit organizationse.focus on quality and customer satisfaction(c; Moderate; p. 9)4. The three broad categories of things processed in services are ____________,____________, and ____________.a.people; physical objects; datab.people; organizations; documentsc.people; data; projectsd.physical objects; data; documentse.physical objects; organizations(a; Easy; p. 15)5. The two considerations used to categorize service are ____________ and____________.f.promotion versus place; price versus productg.place versus time; people versus ideash.place versus people; time versus moneyi.people versus possession; tangible versus intangiblej.people versus intangible; tangible versus possession(d; Moderate; p. 15)6. A useful way to distinguish between goods and services is to place them on acontinuum from ____________ to ____________.a.practical; impracticalb.tangible-dominant; intangible-dominantc.low; highd.reliable; unreliablee.prepared; unprepared(b; Easy; p. 19)7. Which of the following is an example of co-production?a.Withdrawing from an ATM.b.Eating fast food.c.Touring an aquarium.d.Buying a stereo.e.Selling items on eBay.(a; Challenging; p. 20)8. Customers being turned away or having to wait is an implication of which aspect ofservices?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.(e; Easy; p. 20)9. The three additional Ps of services marketing that extend the original four Ps ofmarketing are _____________, _____________, and _____________.a.product; price; place; promotionb.prospects; process; people; promotionc.physical environment; process; peopled.prosperity; process; people; promotione.physical environment; prosperity; planning; process(c; Moderate; p. 23)10. The service framework for developing effective service strategies excludes_________________.a.understanding service products, consumers and marketsb.managing the competitive landscapec.applying the 4 Ps to servicesd.managing the customer interfacee.implementing profitable service strategies(b; Moderate; p. 25)True/False11. In most highly developed nations, services account for between three-fifths and four-fifths of the GDP.(True; Easy; p. 6)12. Typically service jobs are not well-paid positions and require little education. (False; Easy; p. 7)13. When migrants from developing countries move back to their own countries afterliving and working abroad in developed countries, there will be a vacuum in theemployment market of developing economies.(False; Challenging; p. 10)14. Systems and networks access and usage is an example of the ownership of services. (False; Moderate; p. 13)15. Other customers typically do not impact the satisfaction of other consumers inservice settings.(False; Easy; p. 20)16. Time is of great importance in services so operations managers have to be concernedabout minimizing customer waiting time.(True; Easy; p. 22)17. Failures are inevitable in service industries.(True; Moderate; p. 23)18. Marketers should not attempt to shape customer roles and behaviors.(False; Moderate; p. 23)19. The appearance of buildings, landscaping, vehicles, and uniforms provide tangibleevidence of a firm’s service quality.(True; Moderate; p. 25)20. Servicescape is only a consideration if customers have to enter a service factory. (True; Moderate; p. 24)Short Answer21. What are the five broad categories within the non-ownership framework?Rented goods, defined space and place rentals, labor and expertise rental, access to shared physical environments, and systems and networks: access and usage. (Moderate; p. 13)22. Define services.Services are economic activities offered by one party to another. Often time-based performances are used to bring about desired results in recipients themselves or in objects or other assets for which purchasers have responsibility. In exchange fortheir money, time and effort, customers expect to obtain value from access to good, labor, professional skills, facilities, networks and systems. However, they do notnormally take ownership of any of the physical elements involved.(Moderate; p. 19)23. Provide an example of a service that lies at each end of the tangible-dominant tointangible-dominant spectrum.Low—tailored clothingHigh—Internet banking(Moderate; p. 19)24. What are the eight common differences between products and services?1) Most service products cannot be inventoried, 2) intangible elements usuallydominate value creation, 3) services are often difficult to visualize and understand, 4) customers may be involved in co-production, 5) people may be part of the service experience, 6) operational inputs and outputs tend to vary more widely, 7) the time factor frequently assumes great importance, and 8) distribution may take placethrough non-physical channels.(Challenging; p. 20)25. What are the three vital roles of promotion and education?Providing needed information and advice, persuading target customers of the merits of a specific brand or service products, and encouraging customers to take action at specific times.(Moderate; p. 23)Essay26. Give an example of how the Internet is changing the face of service industries.The Internet is transferring power from suppliers to customers, particularly in consumer markets. For example, travel agencies are being replaced by Web sites like Orbitz, Travelocity, and Priceline. These sites allow customers to shop around for the best prices with greater ease. They have in effect changed the distribution system to favor the consumer.(Moderate; p. 11)27. How can firm develop effective marketing strategies?Firms need to start first understanding why service the service sector is developing so fast, and what forces are driving it. Then firms must understand consumer need and behavior. They can do this using the three-stage model of service consumption to explore how customer make decision, respond to services encounters and evaluate service performance. After that, they need to position their offerings to ensure commercial viability. The position must be so distinctive and defensible that the firm can attract a sufficient volume of business from the target customers. The next step is to apply the 4 Ps of traditional marketing into services, with the understanding that services require attention to different elements because services are different from goods. At the same time, firms have to manage the interface between the customers and the service firms. Hence, there are 3 additional Ps to be managed –process, which includes balancing demand and capacity, physical environment, and people.Finally, in order to be profitable, firms need to build relationships with customers to retain their loyalty, handle customer feedback and have service recovery systems in place, make sure that firms are productivity but maintain standards of service excellence and have a culture that focuses the firm on the service profit chain, while integrating the three key functions of marketing, operations and human resources. (Moderate; p. 25)APPLICATION CONTENTMultiple Choice Questions28. A movie theater seat is an example of _____________.a.renting durable goodsb.closely engaging customers in the service processc.renting portions of a larger physical entityd.the centrality of time to servicese.differences in customer choice criteria(c; Moderate; p. 13)29. Education is an example of a/an _____________ service.a.people-processingrmation processingc.mental stimulus processingd.possession-processinge.physical processing(c; Moderate; p. 15)30. Service firms have reservations systems because.a.intangible elements usually dominate value creation.b.most service products cannot e inventoried.c.distribution may take place through non-physical channelsd.customers may be involved in co-productione.all of the above(b; Moderate; p. 20)31. Which of the following is the best example of a supplementary service?a.Appliance maintenanceb.Hotel room rentalc.Fast food consumptiond.House cleaningndscaping(a; Moderate; pp. 22)32. Online educational programs offered by the University of Phoenix are an example of_____________.a.revolutionary products/servicesb.collective products/servicesc.additional servicesd.supplementary servicese.core products/services(e; Moderate; p. 22)True/False33. China is experiencing rapid economic growth and this stimulates demand forproduction and business services.(False; Easy; p. 7)34. IBM is a good example of a firm that has shifted from manufacturing intensiveoperations to service intensive operations.(True; Moderate; p. 8)35. The Internet is transferring power from suppliers to customers, especially inconsumer markets.(True; Moderate; p. 11)36. Less than 15 percent of service jobs around the world are carried out remotely. (True; Moderate; p. 12)37. The best way to help customers visualize your service is to highlightcredentials/experience and educate consumers to make good choices.(True; Moderate; p. 21)Short Answer38. Give an example of a government policy that has stimulated the transformation of aservice industry.Deregulation of the telecommunications industry has stimulated competition and altered fee structures.(Moderate; p. 10)39. Give an example of an industry where the Internet has transferred power fromsuppliers to customers.The travel industry.(Moderate; p. 11)40. Give an example of a service that offers labor and expertise rental.Car repair, surgery, management consultancy, etc.(Easy, p. 13)41. Give an example of a service that offers access to physical environments as a form ofrental.Museums, theme parks, trade shows, gyms, zoos, ski resorts, golf courses, toll roads, etc.(Easy; p. 13)42. Give an example of an industry where production and consumption are separable.Dry cleaning, lawn mowing, weather forecasting, etc.(Moderate; p. 16)Essay43. Describe the possible differences in customer choice criteria between car rentals andoutright purchases.Renters typically reserve a specific vehicle class or category rather than a specific brand or model. For example, rental car companies offer sub-compact, compact, mid-size, and luxury models. The brand of a subcompact may be a Volkswagen Beetle or a Geo Metro. Physical characteristics like color, upholstery, and the number of cup holders are more important to buyers. Consumer consideration of rental locations, insurance coverage, cleanliness of the vehicle and facilities, and ease of the reservation system are also considerations for rental services that differ from car dealerships.(Challenging; p. 12)44. 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.Theme parks are a good example of customer co-production services. Implications include customers having to visit the facility and participate in rides, shows, and other activities to benefit from the service. Picking the wrong ride at the wrong time may cause the customer to wait in a long line and decrease the value of their service experience. Marketing-related tasks include developing user-friendly equipment and facilities and training customers to perform effectively. For example, theme parks can provide schedules and maps to assist customers in making better and more efficient plans.(Moderate; p. 20)45. Describe the seven Ps of service that would be involved in a banking service.Product elements of banking would include aspects like checks and plastic ATM cards. Place and time would concern issues of teller and office accessibility along with 24-hour access to ATMs for certain smaller transactions. Price and user outlays would include costs incurred traveling to the bank or ATMs and making tradeoffs with fees incurred from out of network bank use. Promotion and education include television commercials, free checking offers, and notifications of account changes in the mail. Physical environment aspects include facility layouts and tellers dressing in business attire. Process elements include efficient and correct handling of transactions by both employees and ATMs. Finally, people aspects include the friendliness of tellers and other customer service representatives, as well as other customers.(Challenging; p. 22)。

CASE 2FOUR CUSTOMERS IN SEARCH OF SOLUTIONSOVERVIEWFour telephone subscribers from the same street in a suburban Munich complain individually to Telekom Bavaria about a variety of different problems. Is there more to each problem than might appear on the surface? Does it offer Telekom Bavaria a marketing opportunity?TEACHING OBJECTIVES•Provoke a discussion of the potential underlying causes of consumer complaints.•Highlight the fact that complaints are often opportunities in disguise, because they may enable the firm to satisfy the customer by not only resolving the immediate problem, but also selling additional services that provide useful solutions to ongoing needs.STUDY QUESTIONS1)Based strictly on the information in the case, how many possibilities do you see tosegment the telecommunications market?2)As a customer service representative at the telephone company, how would youaddress each of the problems and complaints reported?3)Do you see any marketing opportunities for Telekom Bavaria in any of thesecomplaints?ANALYSIS1. Based strictly on the information in the case, how many possibilities do you see tosegment the telecommunications market?The background information for the case already highlights geographic segmentation (all the customers live in the same middle-class suburb called Haar) and segmentation on socio-economic grounds, because the location is a “middle-class suburb.”________________________________________________________________________1Additional segmentation possibilities raised by the case include:•Value of usage: Andreas Werden is in the 98th percentile of all Haar household bills—a big spender on telecommunications; Fichtner is a relatively heavy user, being at the 75th percentile; Mueller is average, being at the median level. Finally, Bauer is a low spender, being in the bottom 10% of all household subscribers.•Location of numbers called: International calls are made by Werden to South–East Asia, and by Mueller to France. Long-distance calls within Germany are made by Werden and Fichtner. Lastly, all four subscribers make local calls in Haar.•Time of calling: Calls are readily identified by time of day and date. We know about Werden and Fichtner’ calling patterns, but the phone company would be able to identify dates and times for all charged calls.•Nature of problems encountered: Werden is concerned about overcharging, Mueller about missed calls, Bauer about obscene calls, and Fichtner about poor quality sound.•Types of services and equipment used: The phone company will have records of what value added services (e.g. call waiting, caller ID, call forwarding) each customer subscribes to. If the customer has purchased equipment—such as an answering machine or fax—directly from the company, they will know about that, too (some phone companies sell equipment, others don’t). The case only tells us that Mueller does not subscribe to any value-added services and that Fichtner has an answering machine.2. As a customer service representative, how would you address each of the problemsand complaints reported?An important start is to gain further information about the nature of the problem by asking questions of the customer.Werden: Is the problem one of charging for calls that were never made? Does he recognize all the phone numbers actually dialed? Alternatively, it he being charged too much for a specific call? Does the length of each call as identified on the bill seem too long? Werden’s complaint may simply be that Telekom Bavaria’s prices are too high. If he says he never made a specific call, then it would probably be best to give him the benefit of the doubt and offer a refund on that call without further argument—unless the1Copyright © 2009 Christopher H. Lovelock, Jochen Wirtz and Patricia Chewrecord shows that he complains and seeks refunds on a regular basis, in which case there might be grounds for suspecting either a billing malfunction or dishonesty.Mueller: Is there a particular time of day when the busy signals were received by her callers? Is there anyone else at that address that could have been using her phone at those times? Is there any possibility that the phone instrument was “off the hook” and thus indicating busy? Are there equipment—like a fax or computer modem—that could have been operating at the time and thus prevented incoming calls? Depending on the response, different solutions may be appropriate (see the answers to question 3). Because she has no value-added services, she clearly doesn’t subscribe to call waiting service.Bauer: This problem must be handled with sensitivity and discretion. Mrs. Bauer’s voice may give some clues as to what sort of person she is (e.g. her age, nature of her emotions—frightened, angry, level of self-confidence, etc.). Details of the timing of such calls, any information about the caller’s voice—gender, age, how well-spoken, any identifiable accent—may be helpful, and the nature of what is said (if Bauer is willing to discuss it) may be helpful.There are well established procedures in most phone companies for dealing with obscene calls and the customer service representative will need to follow these.Fichtner: Details of what the noises sound like and whether they are encountered all the time may provide some technical clues as to their source. The rep can arrange to have the line tested by an engineer, but might first suggest that Fichtner try disconnecting the phone machine to see if that makes any difference (if not, it is probably not the cause). 3. Do you see any marketing opportunities for Telekom Bavaria in any of thesecomplaints?Werden: There may be special pricing plans that would reduce his phone bill. There may also be discount plans for international calls. One intriguing question is what lies behind the pattern of the phone calls from his home: Who is calling Schwabing at lunchtime almost daily and why? Assuming that Werden is away at work, then it must be somebody else. Who is calling Frankfurt at weekends and why (the best guess is that he’s calling a relative). However, the evening calls to different countries in Southeast Asia might, in fact, be business calls that can’t be made during the daytime because of the time difference.Mueller: Possible solutions to her problem might include subscribing to call waiting or installing a second phone line. Again, a curious marketer might probe gently to learn more about how she uses phone service (is this a home-based business?) Are there other people in the house who are using the line when Ms Mueller needs to get through? Perhaps, someone failed to return the receiver to its cradle after use?Bauer: One option is to change her phone number and consider having it unlisted. A second is to install a phone machine to screen calls before she answers. A third is tosubscribe to caller ID which would display the number of the phone from which the incoming call was being made—again, a useful screening device.Fichtner: If the phone machine turned out to be the problem, then Telekom Bavaria could offer him a digital messaging service as an alternative to buying a new machine for the house.TEACHING SUGGESTIONSThis is a short and simple case which students enjoy because it encourages creative thinking and suggestions for detective work. Just teach it following the sequence of questions presented here.CONCLUDING COMMENTSAlthough not everyone complains about their problems, most large firms do receive a lot of complaints and it’s important to handle them well. A key challenge for the customer service representative charged with complaint handling is to be sure to get the full details and avoid jumping to premature conclusions that might lead to proposing the wrong solution to the problem.Sometimes, customers can be enlisted to help test possible hypotheses (e.g., the answering machine may not be the cause of the poor connections experienced by Mr. Fichtner, so try disconnecting it). On other occasions, the call is more a request for help and advice than a complaint — Ms. Mueller may not be blaming the phone company for her problem of missed calls, just seeking their help in finding a solution.Finally, complaints may present marketing opportunities. There may be good reasons for the customer to purchase either a different service package or additional features at extra cost. To the extent that the service provider can help the customer obtain better value, they may be glad to pay more or to change their usage behavior.。

Chapter 15Organizing for Change Management and Service Leadership GENERAL CONTENTMultiple Choice Questions1. In the service profit chain, profitability, customer loyalty and customer satisfaction isdue to _____________.placent reactionismb.satisfied, loyal and productive employeesc.conducive servicescaped.crossfunctional teamse.reduction management(b; Moderate; p. 408)2. Which of the following is one of the three functions that are tightly linked in effectiveservice firms?a.The management function.b.The outputs function.c.The inputs function.d.The servicescape function.e.The human resources function.(e; Moderate; p. 411)3. Which of the following is a component of service performance discussed under themarketing function?a.Service qualityb.Service deliveryc.Productivityd.Workforcee.Role of operations(a; Moderate; p. 411)4. Which of the following is a component of service performance discussed under theoperations function?a.Role of marketingpetitive appealc.Introduction of new technologyd.Customer profilee.Workforce(c; Moderate; p. 412)5. Management keeps the current situation going through all of the following EXCEPT_____________.a.Planningb.Designc.Budgetingd.Controllinge.Problem solving(b; Moderate; p. 418)6. All of the following are qualities that effective leaders in service organizations shouldhave EXCEPT ___________.a.love for the businessb.ways of communicating that is easily understoodc.see service quality as foundation for competingd.recognize the part played by employees in delivering servicee.diplomatic(e; Moderate; p. 421)7. Organizational culture includes all of the following EXCEPT ____________.a.shared perceptions or themes regarding what is important in the organizationb.shared values about what is right and wrongc.shared understand ing about what works and what doesn’t workd.shared beliefs, and assumptions about why these things are importante.diverse styles of working and relating to others(e; Easy; p. 422)8. Which of the following is NOT one of the six key factors that influence anorganization’s working environment?a.Flexibilityb.Responsibilityc.Standardsd.Powere.Clarity(d; Moderate; p. 423)9. _____________ is when leaders are able to display the behaviors that they expect ofmanagers and other employees.a.Role modellingb.Motivational managementc.Affiliative leadershipd.Authoritative leadershipe.Political maneuvering(a; Moderate; p. 424)10. Which of the following is NOT one of the aspects of leadership in the future?a.Leadership coming from emerging countries, with different styles.b.Collaborative, using the team approach.c.Leadership from behind, sharing power with others.d.Building collective efforts.e.Controlling employees so they do not act on impulse.(e; Challenging; p. 425)True/False11. All service leaders have a strong focus on their customers only.(False; Moderate; p. 408)12. There is a strong relationship between customer satisfaction and shareholder value. (True; Easy; p. 409)13. Implementing the Service Profit Chain requires a complete understanding of howmarketing, accounting and human resources work together.(False; Moderate; p. 411)14. Controlling workers is a practice most likely seen in the “service losers” category ofservice performance.(True; Moderate; p. 414)15. In service losers, marketing only plays a tactical role.(True; Moderate; p. 414)16. Consistently meeting or exceeding customer expectations across multiple dimensionsis a practice most likely seen in the “service leader” category of service performance. (False; Challenging; p. 415)17. The company names of the “service professionals” level of service performance aresynonymous with service excellence and an ability to delight customers.(False; Moderate; p. 415)18. Planning is designed to produce orderly results, not change.(True; Moderate; p. 419)19. “Management by walking around” is an approach that exemplifies unsuccessful managers.(False; Moderate; p. 422)20. Organizational climate represents the tangible surface layer on top of theorganization’s underlying culture.(True; Moderate; p. 423)Short Answer21. List the links in the Service-Profit Chain.Customer loyalty drives profitability and growth, customer satisfaction drives loyalty, value drives customer satisfaction, quality and productivity drives value, employee loyalty drives service quality and productivity, employee satisfaction drives employee loyalty, internal quality drives employee satisfaction, and top management leadership underlies the chain’s success.(Challenging; p. 409)22. What are the four levels of service performance according to the chapter?Service losers, service non-entities, service professionals, and service leaders. (Moderate; p. 414)23. What is the main reason that customers patronize service losers?Lack of viable alternatives.(Moderate; p. 416)24. What is the dominant operations mindset for a service non-entity?Achieving cost savings through standardization.(Challenging; p. 416)25. Describe the competitive appeal of the “professional” level of service performance.Customers seek out the firm, based on its sustained reputation for meeting customer expectations.(Challenging; p. 417)Essay26. Describe the qualities of a service leader.A service leader offers its customers superior value and quality. It has marketingstrategies that beat the competition, yet it is viewed as a trustworthy organization that is ethical. It leads in operations through superior processes and innovative use of technology. It is also recognized as an outstanding place to work, with empowered, customer-oriented, and satisfied employees. Attaining service leadership requires a coherent vision and unified message from a strong, effective leadership team. (Moderate; p. 417)27. Distinguish the difference between management and leadership.Management involves keeping the current situation operating through planning,budgeting, organizing, staffing, controlling and problem solving. Leadership, on the other hand, is concerned with the development of vision and strategies, and theempowerment of people to overcome obstacles and make the vision happen.Leadership reacts to changes in the competitive environment and is built and enacted through people and culture.(Moderate; p. 418)APPLICATION CONTENTMultiple Choice Questions28. Pernille Spiers-Lopez is president of ______________.a.Fedexb.Southwest Airlinesc.Marriottd.IKEA North Americae.Stena Lines(d; Moderate; p. 406)29. According to Ms Spiers-Lopez, all of the following are characteristics of effectiveleadership EXCEPT ____________.a.being authenticb.not being afraid to make mistakesc.trusting the people aroundd.being an effective communicatore.not being afraid to change one’s mind(d; Challenging; p. 407)30 What is service science?a.Study of how excellent service can be achieved.b.An approach for developing service operation that can create value for ourcustomers.c.An approach to enable us to study, design and manage effective service systemsthat create value for our customers.d.A study of various disciplines in the sciences, like logistics management.e.An approach to designing and managing complex service systems.(c; Challenging; p. 413)31. Leadership is a part of managerial work because the rate of change has beenincreasing. Even lower level managers now spend up to ____________ of their time leading.a.10 percentb.20 percentc.25 percentd.30 percente.35 percent(b; Moderate; p. 418)32. The notion of ____________ is central to the professional lives of Cirque Du Soleilemployees.a.stretchb.bindc.hangd.wincee.edge(a; Moderate; p. 420)True/False33. Ideally, service firms should be organized in ways that enable the three functions ofmarketing, operations, and human resources to work closely together so that theorganization can be responsive to its various stakeholders and achieve success in its chosen markets.(True; Moderate; p. 411)34. Top-level executives of outstanding service organizations spend incredible amountsof time setting profit goals and focusing on market share.(False; Challenging; p. 418)35. Organizations that are devoted to satisfying their current customers may missimportant shifts in the marketplace and find them turning into has-beens.(True; Moderate; p. 418)36. Companies who work for years building a loyal workforce with a strong service ethicmay find that such a culture can easily be destroyed through change in leadership. (True; Easy; p. 418)37. Cirque Du Soleil claims that they didn’t reinvent the circus, they simply repackageda way of presenting the circus show in a much more modern way.(True; Moderate; p. 420)Short Answer38. Give an example from the chapter of a firm is able to achieve competitive advantagethrough stretch.Cirque Du Soleil(Easy, p. 419)39. List one of Cirque Du Soleil’s main competitors.Cirque Eloize (Cirque Eos, Barnum’s Kaleidoscope).(Challenging; p. 420)40. Describe Cirque Du Soleil’s critical financial issue.Cirque’s core market is becoming crowded with competition, it is becoming more difficult to find and retain top performers, and it is unclear how much longer they can continue to fill 1,000-seat theaters at high admission prices with what areessentially variations on the same product.(Challenging; p. 420)41. What did Sam Walton, founder of Wal-Mart, highlight the role of managers as?Servant leaders.(Challenging; p. 421)42. Daniel Goldman found which leadership style to be the most effective for achievingpositive change and why was that so?Authoritative leaders are the most effective because they have the skill andpersonality to move people toward a vision. These leaders build confidence with a “Come with me” approach.(Moderate; p. 424)Essay43. Why does IKEA North America have a strong culture of caring for its employees?This results from Ms Spiers-Lopez’s own personal values. She believe s strongly that family should be the number one priority, and so tries to keep regular hours at work and avoid business travel on weekends. She also expects those employees who have families to make them a priority. Recognizing her caring for the family lives of her employees, Ms Spiers-Lopez was given the Family Champion Award by Working Mother. Under her leadership, IKEA North America also provides benefits offered by few retail stores in the United States. For example, even part-timers who work 20 hours a week have full medical and dental insurance, which covers their partners and children.(Challenging; p. 407)44. Describe how William Bratton was able to make his officers very effective in theirwork.Bratton believed in putting his key managers face-to-face with the problems that were of greatest concern to the public. When he became chief of the New York Transit Police, Bratton found that none of the senior staff officers used the subway.So he required all transit police officials, including himself, to ride the subway to work and to meetings, even at night, instead of traveling in cars provided by the city.In that way, senior officials experienced the reality of the problems faced by millions of ordinary citizens and by police officers who strove to keep order. His managers were able to deploy their police officers more effectively, to areas where there were more subway crimes being committed.(Challenging; p. 422)45. Describe how Mitchell T. Rabkin of Beth Israel Hospital learnt the power of rolemodeling.One of our trustees, the late Max Feldberg, head of the Zayre Corporation, asked me one time to take a walk around the hospital with him and inquired, "Why do you think there are so many pieces of paper scattered on the floor of this patient care unit?”“Well, it’s because people don’t pick them up,” I replied.He said, "Look, you're a scientist. We'll do an experiment. We'll walk down this floor and we'll pick up every other piece of paper. And then we'll go upstairs, there's another unit, same geography, statistically the same amount of paper, but we won't pick up anything.”So this 72-year old man and I went picking up alternate bits of the litter on one floor and nothing on the other. When we came back 10 minutes later, virtually all the rest of the litter on the first floor had been removed and nothing, of course, had changed on the second.And "Mr. Max" said to me, "You see, it's not because people don't pick them up, it's because you don't pick them up. If you're so fancy that you can't bend down and pick up a piece of paper, why should anybody.(Challenging; p. 423)。

Chapter 14Improving Service Quality and ProductivityGENERAL CONTENTMultiple Choice Questions1. The common perspective on quality includes all of the following EXCEPT____________.a.transcendent viewer-based definitionc.manufacturing-based approachd.process-based approache.value-based definition(d; Moderate; p. 368)2. The ____________ is supply based, and is concerned primarily with engineering andmanufacturing practices.a.transcendent viewer-based definitionc.manufacturing-based approachd.product-based approache.value-based definition(c; Easy; p. 368)3. Which of the following is NOT a broad dimension of service quality?a.Tangiblesb.Reliabilityc.Responsivenessd.Transcendencee.Assurance(d; Easy; p. 369)4. ____________ and ____________ typically measure satisfaction with all majorcustomer service processes and products.a.Total market surveys; ordinary surveysb.Regular surveys; ordinary surveysc.Regular surveys; reverse surveysd.Regular surveys; split surveyse.Total market surveys; annual surveys(e; Challenging; p. 376)5. The ____________ is the difference between what service providers believecustomers expect and customers’ actual needs and expectationsa.interpretation gapb.standard gapc.knowledge gapd.service quality gape.internal communications gap(c; Moderate; p. 370)6. The ____________ is the difference between what a service provider communicatesand what it actually delivers to the customer.a.interpretation gapmunications gapc.perceptions gapd.standards gape.knowledge gap(a; Challenging; p. 371)7. Which of the following is NOT one of the six service quality gaps?a.The knowledge gap.b.The proportion gap.c.The policy gap.d.The delivery gap.e.The perceptions gap.(b; Moderate; p. 370)8. Which of the following is the prescription for the perception gap?a.Ensure the right service processes and specify standards.b.Ensure that performance meets standards.c.Learn what customers expect.d.Tangibilize and communicate the service quality delivered.e.Ensure that communications promises are realistic.(d; Challenging; p. 373)9. Which of the following is one of the customer-driven approaches to improvingproductivity?a.Ask customers not to use third parties.b.Limiting customer involvement in production.c.Changing the timing of customer demand.d.Reducing backstage elements of production.e.Reducing front-stage elements of production.(c; Moderate; p. 389)10. Which of the following is NOT one of the six steps that can help smooth the path ofcustomer change?f.Develop customer trust.g.Understand customers’ habits a nd expectationsh.Develop innovation and limit trial.i.Pretest new procedures and equipment.j.Publicize the benefits.(c; Moderate; p. 391)True/False11. Making service processes more efficient results in a better quality experience forcustomers and ensures improved benefits for them.(False; Moderate; p. 368)12. The standards gap is the difference between specified delivery standards and theservice provider’s actual performance on these standards.(False; Challenging; p. 371)13. The service quality is the difference between what customers expect to receive andtheir perceptions of the service that is actually delivered.(True; Moderate; p. 371)14. The perception gap is the difference between what is, in fact, delivered and whatcustomers perceive they have received.(True; Moderate; p. 371)15. Hard measures are those that cannot be easily observed and must be collected bytalking to customers, employees, and others.(False; Moderate; p. 374)16. Organizations that are known for excellent service make use of hard measures ratherthan soft measures.(False; Moderate; p. 374)17. Transactional surveys are typically conducted after customers have completed aspecific transaction.(True; Easy; p. 376)18. Control charts offer a simple method of displaying performance on hard measuresover time against specific quality standards.(True; Easy; p. 380)19. Typically the cost of an unhappy customer is lower than the cost of service recovery. (False; Moderate; p. 386)20. Because customers are often involved in service production, operations managersneed to low at how customer outputs can be more productive.(False; Moderate; p. 389)Short Answer21. Explain the transcendent view of quality.The transcendent view of quality is synonymous with innate excellence: a mark of uncompromising standards and high achievement. It argues that people learn torecognize quality only through the experience gained from repeated exposure. (Challenging; p. 368)22. Explain what is meant by the “user-based definition” of service quality.Here, quality is in the eye of the beholder. This subjective definition equates tomaximum satisfaction.(Moderate; p. 369)23. Describe one of the primary components of the prescription for the policy gap.Establish the right service processes and specify standards. These can be done by getting the customer service processes right, developing tiered service products that meet customer expectations, and setting, communicating and reinforcing measurable customer-oriented service standards for all work units.(Moderate; p. 372)24. What is the collection of customer feedback tools that a firm can use?Total market survey, annual survey on overall satisfaction, transactional survey,service feedback cards, mystery shopping, unsolicited feedback, focus groupdiscussions and service reviews.(Moderate; p. 376)25. List the four ways to improve service productivity.Careful control of costs at every step of the process, reduce waste of materials and labor, replace workers with automated machines and customer-operated self-service technologies, and broaden the variety of tasks that a service worker can perform. (Moderate; p. 388)Essay26. Discuss what could be involved in the prescription for “The Delivery Gap.”The delivery gap can be rectified by ensuring that customer service teams are motivated and able to meet service standards. This can be accomplished by improving recruitment in human resources and selecting employees that fit the necessary skill set and abilities to perform the job well. Once hired, employees need to be well trained on the technical and soft skills needed to perform effectively.Employee roles also should be clarified, ensuring that employees understand how their job contributes to customer satisfaction. Cross-functional service teams and empowered managers can better offer customer-centric service delivery and problem resolution. Finally, performance should be measured and regular feedback should be provided to continue the cycle of excellence.(Moderate; p. 372)27. Explain what SERVQUAL is and how it is used in services.SERVQUAL is a self-report tool used to measure customer satisfaction with service encounters. Valarie Zeithaml and her colleagues developed the instrument. It is based on th e premise that customers can evaluate a firm’s service quality by comparing their perceptions of its service with their own expectations. The scale contains 22 perception items and a series of expectation items that reflect the five dimensions of service quality. The scale indicates high quality when perceived performance exceeds expectations and low quality when expectations exceed perceived performance. Services can use this tool to understand the level of quality at which customers perceive them and determine which dimensions of service quality would most improve those perceptions.(Moderate; p. 396)APPLICATION CONTENTMultiple Choice Questions28. FedEx approaches quality management from which of the following perspectives?a.Percent of packages on timeb.Percent of flights arriving safelyc.Baseline of zero failuresd.Low turnovere.High Turnover(c; Challenging; p. 380)29. Which of the following is the best example of the source of a delayed flight causedby procedures?a.Cutoff too close to departure timete cabin crewste cabin cleanersd.Weathere.Oversize baggage(a; Moderate; p. 382)30. Which of the following is the best example of the source of a delayed flight causedby front-stage personnel?a.Air trafficte food servicete fueld.Gate agents cannot process passengers quickly enoughe.Poor announcement of departures(d; Moderate; p. 382)31. Which of the following is one of Holiday Inn’s hotel areas that show a particularlystrong impact on revenue per available room?a.Dining facilitiesb.The lobbyc.The exteriord.Public restroomse.Kitchen facilities(c; Moderate; p. 384)32. ____________ is the authentication or identification of individuals based on physicalcharacteristics or traits.a.Service ampingb.Decryptionc.Biometricsd.Encryptione.Electronic access(c; Easy; p. 392)True/False33. Fedex’s Service Quality Indicator is a 10-item measure of satisfaction and servicequality from the customers’ viewpoint.(False; Moderate; p. 379)34. FedEx was one of the first company’s to understand the need for a firm-wide indexof service quality that embraced all the key activities that had an impact on customers. (True; Moderate; p. 380)35. A study by Holiday Inn actually showed that as the number of defects per hotelincrease, the amount of revenue per room increases.(False; Easy; p. 384)36. The Return on Quality perspective from Holiday Inn suggests that the focus ofpreventative maintenance should be on the hotel exterior, the guest rooms, and guest bathrooms.(True; Moderate; p. 385)37. Self-service pumps with credit card readers increase gas station productivity, but leadto higher costs because of additional fees.(False; Moderate; p. 389)Short Answer38. Describe what is meant by the 80/20 rule in the context of an airline.The 80/20 rule refers to 80 percent of failures being explained by 20 percent ofcausal variables. In an airline this would mean that late flights are caused by only four or five factors.(Moderate, p. 382)39. What is a key element of gaining customer acceptance of new procedures andtechnology?Teach customers to use innovation and promote trial. Assign service personnel to demonstrate new equipment and answer questions—providing reassurance as well as educational assistance.(Moderate; p. 391)40. Give an example of biometric test usage in a service environment.Disneyworld provides season pass holders with access to services facilities using a biometric card.(Challenging; p. 392)41. What is ISO 9000?ISO 9000 is a certification that a company meets a predetermined set of qualitymanagement standards that are independently assessed.(Challenging; p. 397)42. List a major service firm from the chapter that has received the Malcolm-BaldrigeNational Quality Award.The Ritz-Carlton (FedEx, and AT&T).(Challenging; p. 399)Essay43. Describe what is involved when an auditor conducts a quality analysis at Holiday Innhotels.The franchisor’s quality assurance reports examine different area s of each hotel.Two of the areas relate to the guest rooms (bedroom and bathroom) and ten relate to the commercial areas (exterior, lobby, public restrooms, dining facilities, etc). Each area typically has 10–12 items that can pass or fail inspection and inspectors note the number of defects in the entire hotel.(Challenging; p. 384)44. Discuss the advantages of using a customer’s physical characteristics to increaseproductivity in the delivery of service quality.Biometrics refers to the practice of using physical characteristics to identify an individual. In the context of service productivity, its use provides several advantages. Customer processing can be more secure and accurate, as physical characteristics are more difficult to replicate than account/access numbers and passwords. Biometrics allow for more thorough use of self-service options, as it is more difficult to lose physical characteristics (e.g. a fingerprint) than it is to forget a password or account number. Other applications include voice recognition for call-centers, self-service banking, and home shopping.(Challenging; p. 392)45. Discuss what the six sigma approach is and how it can be applied to service qualityand productivity.Six sigma was originally developed by Motorola engineers in the mid-1980’s to address complaints from sales reps about having to fulfill too many warranty obligations. Six sigma, statistically, means achieving a quality level of only 3.4 defects per million opportunities. Over time six sigma has evolved from a defection reduction approach to an overall business improvement approach that can now be applied to services. Process improvements and process design/redesign form the cornerstone of the six sigma approach. Many services use this strategy to reduce defective encounters, reduce cycle times, and improve productivity. For example, GE Capital applied six sigma to reduce the backroom costs of selling consumer loans, credit card insurance, and payment protection.(Challenging; p. 399)。

Chapter 9Balancing Demand against Productive CapacityGENERAL CONTENTMultiple Choice Questions1. Which of the following is NOT one of the productive capacity forms in a servicecontext?a.Physical facilities designed to contain customersb.Physical equipment used to process people, possessions, or informationc.Customersbore.Infrastructure(c; Moderate; p. 230)2. Which of the following is NOT one of the conditions that fixed-capacity firms mayface?a.Excess capacity.b.Demand exceeds desired capacity.c.Demand and supply are well-balanced.d.Ideal demand exceeds capacity.e.Excess demand.(d; Moderate; p. 232)3. Which of the following is the correct action for a firm to take that wants to reducedemand and has insufficient capacity?a.Take no action.b.Consider override for most desirable segments.c.Consider priority systems for most desirable segments.d.Increase prices or encourage use in other time slots.e.Lower prices selectively.(d; Challenging; p. 233)4. Which of the following is NOT one of the ways to change the overall level of capacityto match demand variations?e part-time employees.b.Ask customers to share.c.Invite customers to perform self-service.d.Cross-train employees.e.Share facilities with the supplier.(e; Moderate; p. 234)5. All of the following are questions to ask about demand patterns and their underlyingcauses EXCEPT ____________.a.Do demand levels follow a predictable cycle?b.What are the underlying causes of these cyclical variations?c.How much demand are competitors receiving?d.Do demand levels seem to change randomly?e.Can demand for a particular service over time be disaggregated by marketsegment?(c; Moderate; p. 235)6. Which of the following is NOT one of the five basic approaches to managing demand?a.Taking no action and leaving demand to find its own levels.b.Reduce demand in peak periods.c.Increase demand when there is excess capacity.d.Inventory capacity until demand increases.e.Inventory demand by creating a formalized queuing system.(d; Easy; p. 236)7. Marketing strategies can be used to shape demand in all ways EXCEPT____________.a.modify mode of deliverye price and other cost to manage demandc.change product elementsd.modify time and place of deliverye promotion and education(a; Easy; p. 237)8. Which of the following is NOT one of the alternative queuing configurationsdiscussed?a.Single line/single servers at sequential stagesb.Multiple line to single servers (“snake”)c.Parallel lines to multiple serversd.Designated lines to designated serverse.“Take a Number” (single or mult iple servers)(b; Moderate; p. 240)9. All of the following are ways to make waits more bearable EXCEPT ____________.a. encourage group waitsb. keep customers occupied while waitingc. make customers feel comfortable during waitsd. let customers know how long they are expected to waite. provide the customers with no explanation for the wait(e; Easy; p. 243)10. Which of the following is NOT one of the benefits of having a reservations system?a.Helps service personnel to serve more effectively.b.Helps in pre-selling the service.c.Helps customers to avoid queuing.d.Helps firms to keep some time aside for emergency jobs.e.Allows demand to be controlled.(a; Moderate; p. 244)True/False11. The term “productive capacity” refers to the resources or assets that a firm canemploy to create goods and services.(True; Moderate; p. 230)12. Medical clinics, hotels, and passenger aircrafts are all examples of physical facilitiesdesigned to contain goods and services.(False; Moderate; p. 230)13. Financial success in businesses with limited capacity depends largely on how capacity is used.(True; Easy; p. 231)14. Optimum and maximum capacities are never one and the same (e.g. a sportperformance).(False; Easy; p. 232)15. One way to stretch capacity is to ensure slack time is encountered.(False; Easy; p. 233)16. Demand patterns are usually random.(False; Moderate; p. 234)17. Good records of a firm’s transactions can help one to understand demand patterns. (True; Easy; p. 236)18. When a firm wants to inventory demand via a reservation system and has insufficientcapacity it should lower prices selectively.(False; Moderate; p. 237)19. We need to have queuing or reservations systems because demand cannot beinventoried.(True; Moderate; p. 239)20. Yield analysis forces managers to recognize the opportunity cost of selling capacityfor a given date to a customer from one market segment when another mightsubsequently yield a higher rate.(True; Moderate; p. 245)Short Answer21. What are the four supply and demand conditions that a fixed-capacity service mayface?Excess demand, demand exceeds optimum capacity, demand and supply are well balanced, and excess capacity.(Moderate; p. 232)22. What are the two basic approaches to fluctuating demand?Adjust the level of capacity to meet variations in demand.Stretch or shrink existing capacity.(Challenging; p. 233)23. List the six actions managers can take to adjust capacity as needed.Schedule downtime during periods of low demand.Use part-time employees.Rent or share extra facilities and equipment.Ask customers to share.Invite customers to perform self-service.Cross train employees.(Challenging; p. 233)24. List the four key marketing strategies that can be employed to reshape demand.Use price and other costs to manage demand, change product elements, modify the place and time of delivery, and promotion and education(Challenging; p. 237)25. What are thee strategies that can be employed when considering a modification to theplace and time of service delivery?No change, varying the times when the service is available, and offering the service to customers at new locations.(Moderate; p. 238)Essay26. Describe four of the ten propositions on the psychology of waiting lines.Waiting lines create dissatisfied customers for a number of reasons. The ten propositions describe characteristics that can increase or decrease satisfaction. First,unoccupied time feels longer than occupied time. The solution is to find a way to occupy customers, perhaps with other services. Second, pre- and post-process waits feel longer than in-process waits. Express/electronic check-in and speedy billing can reduce dissatisfaction here. Third, anxiety makes waits seem longer. Here again, occupying customers can help reduce negative effects. Fourth, uncertain waits are longer than known, finite waits. Adjusting to a wait of known length is easier because customers can see a finish line approaching.(Challenging; p. 243)27. Describe what the t erm “yield” means in the context of a reservation strategy.The term “yield” refers to the average revenue received per unit of capacity. Firms should aim to maximize this yield to enhance profitability. Yield analysis forces managers to consider the opportunity cost of selling capacity for a given date to one customer segment when another might yield a higher rate. Reservation systems can provide the detailed information necessary to support an optimal strategy from botha historical perspective and current updates.(Moderate; p. 245)APPLICATION CONTENTMultiple Choice Questions28. Mont Tremblant uses all the following ways to attract guests during summerEXCEPT _____________.a.water sports on the lakeb.face paintingc.balloon sculptingd.wind surfinge.roller-blading(d; Moderate; p. 229)29. The demand on a city bus is likely to vary by all EXCEPT which of the following?a.Time of day.b.Day of the week.c.Season of the year.d.Population density in the city.e.All of the above will likely cause demand to vary on a city bus.(d; Challenging; p. 235)30. ____________ is usually the first variable to be proposed for bringing demand andsupply into balance.a.Price.b.Place.c.Personnel.d.Product.e.Promotion.(a; Moderate; p. 270)31. One way for car washes to decrease the number of visitors to the existing site is toa.Offer free pickup and delivery of cars to be washed.b.Offer mobile car wash services.c.Add more service options.d.Increase prices to get the most out of current customers.cate customers on when they should have their cars washed.(b; Moderate; p. 238)32. New York City’s 911 service uses education to ______________.a.attract new callersb.show callers when peak periods arec.discourage undesirable demandd.channel calls to medical servicese.encourage callers to use their services(c; Moderate; p. 239)True/False33. A subway can increase the capacity on a route after all seats have been occupied. (True; Challenging; p. 233)34. During the SARS period when travel and tourism was affected, staff were sent fortraining or encouraged to resign.(False; Moderate; p. 234)35. A good example of inventorying demand is a haircut that can be set up and preparedfor one day and executed the next.(False; Moderate; p. 237)36. One of the most direct ways for a hotel to reduce excess demand at peak periods is tocharge customers more money to use the service during those periods.(True; Easy; p. 238)37. Airlines place restrictive conditions on fares for tourists to prevent business travelersfrom traveling on economy class.(False; Easy; p. 238)Short Answer38. Describe how optimum and maximum capacities may differ in the restaurant industry.A full restaurant may deteriorate service because the staff is rushed and there is agreater likelihood of errors and delays.(Moderate; p. 232)39. Give a situation where optimal and maximum capacities are the same.Live theater or a sports performance.(Moderate; p. 232)40. Discuss why a subway car has elastic capacity.A subway car has elastic capacity because it is designed to seat perhaps 40 and allowanother 60 to stand with adequate space. Under rush hour conditions it can supply space for 200, though the space would be extremely cramped.(Moderate, p. 233)41. How did BMW occupy customers while they were waiting for their cars to beserviced?BMW owners could wait in comfort at the BMW service centers. The waiting areas are furnished with designer furniture, plasma TV mounted on walls, Wi-Fi hotspots, magazines and freshly brewed cappuccino.(Challenging; p. 243)42. Which company is taking advantage of reservations system to do business?PrimeTimeTables is an exclusive online company that helps customers to get table reservations at the most popular dining spots, where only people who are somebody, or have the proper connections can get a table.(Challenging; p. 245)Essay43. Describe how ski resorts manage traditionally seasonal supply and demandfluctuations.Traditionally ski resorts only operated during the winter months, shutting down for the summer. Realizing that hiking and mountain biking were coming into vogue, as well as the value of offering other summer activities, resorts began opening in the summertime. This allowed the firms to smooth the seasonal demand and create valueout of unused capacity. Chairlifts used for skiing and restaurants used for feeding customers now operate year round instead of laying dormant for half of the year. (Easy; p. 229)44. Describe how Disney decided to deal with long lines.Disney implemented virtual waiting lines at their most popular attractions in response to long waiting lines and subsequent customer dissatisfaction. Customers pick up a special pass called FASTPASS, which tells them how close to the front of the line they are without actually standing in line. This causes lines to self-regulate such that customers who are not close to the front, do not stand around taking up space and find alternative things to do. This enhances both customer satisfaction and has been shown to increase profit because customers will spend money elsewhere instead of idling in line. Disney provides this service at no charge extra. (Moderate; p. 242)45. Discuss how PrimeTimeTables can be successful in their business and the problemsthey face in the provision of their service.Mr Riffaud is the president of Personal Concierge International. This company is a leader in providing exclusive concierge service in the United States. In the process, Mr Riffaud has built a large network of contacts with exclusive restaurants. This is one of the ways in which he manages to obtain those hard-to-get reservations at the most popular dining spots. His clients are delighted with his service and have been flooding him with requests for reservations. However, there have been protests from restaurant owners. They feel that he is upsetting their reservations management system, and also selling their tables for a price. Even though Mr Riffaud does cancel unsold reservations, restaurant owners felt that these could have been sold to other customers who really wanted to have a table.(Challenging; p. 245)。

Chapter 8Designing and Managing Service ProcessesGENERAL CONTENTMultiple Choice Questions1. Blueprinting is a more complex form of ____________.a.linear graphingb.flow chartingc.Cox & Snell analysisd.non-linear graphinge.cluster analysis(b; Easy; p. 200)2. The first step in developing a service blueprint is ____________.a.to reach a consensus on which activities are more important than othersb.to identify all the key activities involved in creating and delivering the servicec.to identify the links between a set of alternative service possibilitiesd.to identify the key employees who will be enacting the service blueprinte.to identify the key customers who will be participating in the service(b; Easy; p. 203)3. Service blueprints ____________, and how these are supported by backstage activitiesand systems.a.enhance servicescape features such as furniture and lightingplicate employee handling of special requestsc.clarify the interactions between customers and employeesd.enhance customer technical know-howe.diminish customer complaining capacity(c; Moderate; p. 203)4. The line of ____________ divides front-stage activities from backstage activities.a.service standards and scriptsb.physical evidencec.internal physical interactiond.internal IT interactione.visibility(e; Challenging; p. 204)5. Which of the following is NOT a key component of a service blueprint?a.Line of transferenceb.Line of interactionc.Line of visibilityd.Backstage actions by customer contact personnele.Front-stage actions by customer contact personnel(a; Moderate; p. 204)6. The ____________ or ____________ includes both the ____________ and____________ of a service facility.a.roll; retrieval; implicit aspects; explicit aspectsb.stage; servicescape; exterior; interiorc.stage; service area; customers; employeesd.roll; canopy; employees; equipmente.roll; service area; front-stage; backstage(b; Moderate; p. 205)7. Server ____________ ensure that service staffs do things correctly, as requested, inthe right order, and at the right speed.a.kanbansb.poka-yokesc.jidokasd.banzaise.sodokus(b; Moderate; p. 211)8. Service process redesign efforts typically focus on achieving all EXCEPT which ofthe following key performance measures?a.Reduced number of service failures.b.Reduced cycle time.c.Enhanced productivity.d.Increased profitability.e.Increased customer satisfaction.(d; Challenging; p. 215)9. Service process redesign can be categorized into all EXCEPT which of the following types?a.Getting rid of non-value adding steps.b.Shifting to self-service.c.Delivering direct service.d.Separating services.e.Redesigning the physical aspect of service processes.(d; Moderate; p. 215)10. Which of the following is NOT an advantage of self-service technologies?a.Greater choice of productsb.Higher perceived level of customization.c.Convenience of location.d.Greater control over service delivery.e.Cost and time savings.(a; Moderate; p. 220)True/False11. A blueprint specifies in some detail how a service process should be constructed. (True; Easy; p. 202)12. A key characteristic of service blueprinting is that it makes little or no distinctionbetween what customers experience “front-stage” and the activities of employees and support processes “backstage.”(False; Easy; p. 203)13. A drawback of service blueprints is that they cannot give managers the opportunityto identify potential fail points in the process where there is a significant risk ofthings going wrong and diminishing service quality(False; Moderate; p. 203)14. Blueprints can pinpoint the stages in the process where customers commonly have towait.(True; Moderate; p. 203)15. Part of the challenge of implementing poka-yokes in service contexts is the need toaddress not only server errors, but also customer errors.(True; Moderate; p. 211)16. Service staff poka-yokes usually focus on preparing the customer for the encounter,understanding and anticipating their role in the service transaction, and selecting the correct service or transaction.(False; Moderate; p. 211)17. Service process redesign encompasses reconstitution, rearrangement, or substitutionof service processes.(True; Moderate; p. 215)18. Customer participation refers to the actions and resources supplied by customersduring the service production and/or delivery process, including all but emotional inputs.(False; Moderate; p. 217)19. A key problem with self-service technologies is that so few of them incorporateservice recovery systems.(True; Moderate; p. 221)20. SST is only better than the interpersonal alternative if it saves time, provides ease ofaccess, cost savings, or some other benefits.(True; Easy; p. 222)Short Answer21. What is flowcharting?Flowcharting is a technique for displaying the nature and sequence of the different steps in delivery service to customers.(Moderate; p. 200)22. List the nine components of a service blueprint.1.Definition of standards for each front-stage activity.2.Physical and other evidence for front-stage activities.3.Main customer actions.4.Line of interaction.5.Front-stage actions by customer contact personnel.6.Line of visibility.7.Backstage actions by customer contact personnel.8.Support processes involving other service personnel.9.Support processes involving information technology.(Challenging; p. 204)23. How can firms prevent customer failures?They can employ the three-step approach: 1) systematically collect information on the most common failure points, 2) identify their root causes and 3) create strategies to prevent the failures identified.(Moderate; p. 212)24. What does SST stand for?Self-service technology.(Easy; p. 219)25. What three questions does Mary Jo Bitner suggest managers should put in theirfirms’ SSTs to the test with?Does the SST work reliably? Is the SST better than the interpersonal alternative? If it fails, what systems are in place to recover?(Moderate; p. 221)Essay26. Discuss the potential company benefits, potential customer benefits, and challengesand limitations of the direct service approach to managing the service deliveryprocess.Potential company benefits of the direct service approach include eliminating store locations, expanding the customer base, and company differentiation. This is because the direct approach takes a service to a customer. The benefits to customers include increased convenience and improved access to the service. Challenges and limitations involved in direct service include logistical burdens, cost, and a need for credibility and trust. Reducing physical locations is often traded for an increase in field staff and vehicles, which then must efficiently travel from one location to another to serve customers.(Moderate; p. 216)27. Discuss the potential company benefits, potential customer benefits, and challengesand limitations of the bundled service approach to managing the service deliveryprocess.Potential company benefits of the bundled service approach include company differentiation, customer retention, and increased per capita service use. These are due to customers paying slightly less for each component, but more overall because of the combination of services. Potential benefits to the customer include increased convenience and customized service. Customers are better serviced because they do not have to interact with multiple service organizations to achieve multiple similar objectives. Challenges and limitations include an extensive understanding of the target customer and the perception of wastefulness.(Moderate; p. 216)APPLICATION CONTENTMultiple Choice Questions28. How many “acts” does a meal at Chez Jean consist of?a.One actb.Two actsc.Three actsd.Four actse.Five acts(c; Moderate; p. 204)29. Banks ensure eye contact by requiring tellers to record ____________ on a checklistat the start of a transaction.a.the customer’s eye col orb.the customer’s bank account numberc.the customer’s shirt sized.the customer’s account typee.the customer’s nationality(a; Easy; p. 211)30. Examples of preparing customers for service encounters include all of the followingEXCEPT ____________.a.printing dress code requests on invitationsb.sending reminders of dental appointmentsc.printing guidelines on customer cardsd.billing customers for services renderede.all of the above are examples of preparing customers for service encounters (d; Moderate; p. 211)31 Marriage counseling is a service that requires a ____________ level of participationfrom customers.a.minimalb.highc.moderated.lowe.absolute(b; Moderate; p. 218)32. The internet kiosk with a touchscreen in Vienna, Austria is getting popular for thefollowing reasons EXCEPT ____________.a.it is conveniently locatedb.it saves customers from having to deal with other undesirable customersc.it is accessible 24/7d.it doesn’t make mistakes, unlike employeese.it has easy access to websites(b; Challenging; p. 220)True/False33. Restaurants are often quite theatrical in their use of physical evidence (such asfurnishing, décor, uniforms, lighting, and table settings).(True; Easy; p. 205)34. “Risk of excessive wait” points in a restaurant service blueprint provid ed in thechapter occur mainly in the backstage processes.(False; Moderate; p. 206)35. “Failure” points in the restaurant service blueprint provided in the chapter only occurin the backstage processes.(False; Easy; p. 206)36. Poke-yokes originated from Total Quality Management methods in manufacturing. (True; Moderate; p. 211)37. A good example of a service poka-yoke is a surgeon whose surgical instrument trayshave indentations for each instrument.(True; Moderate; p. 211)Short Answer38. W hat are the acts that “restaurant drama” can be divided into?Activities that take place before the core product is encountered, delivery of the core product, and subsequent activities while still involved with the service provider. (Moderate, p. 204)39. What is the only fail point in the service blueprint that was listed as physicalevidence in the restaurant drama?Food taste, quality.(Moderate; p. 208)40. Which aspect of service process redesign did FedEx employ when it transferred morethan 50 percent of its transactions from call centers to its Web site?Shifting to self-service.(Moderate; p. 215)41. When a rental car customer is not interested in filling out paperwork or processingpayment and check of the rental car, this is an example of which service processredesign?Eliminating non-value adding steps.(Moderate; p. 215)42. How is the patient a partial employee?While doctors have a legal and ethical duty to help their patients, they can onlysucceed if the doctor and patient cooperate with each other.(Moderate; p. 218)Essay43. Describe and draw a flowchart for a possession processing service.When you use your DVD player, the picture quality on the TV screen is poor. Fed up with the situation, you search the Online Yellow Pages to find a repair store in your area. At the store, the neatly–dressed technician checks your machine carefully but quickly. He tells you that it needs to be adjusted and cleaned. You are impressed by his professional manner. The estimated price seems reasonable. You are also pleased that repairs are guaranteed for 3 months, so you agree to the work and are told that the player will be ready in three days’ time. The technician disappears into the back office with your machine and you leave the store. When you return to pick up the product, the technician explains the work that he did and demonstrates that the machine is now working well. You pay the agreed price and leave the store with your machine. Back home, you plug in the player, insert a DVD, and find that the picture is now much improved. See Figure 8.2 for diagram(Challenging; p. 200)44. Describe how poke-yokes contribute services as a fail-safe method.Server poka-yokes ensure that service staff do things correctly, as requested, in the right order and at the right speed. Examples include surgeons whose surgical instrument trays have indentations for each instrument. For a given operation, all of the instruments are nested in the tray so it is clear if the surgeon has not removed all instruments from the patient before closing the incision. Some service firms use poka-yokes to ensure that certain steps or standards in the customer-staff interaction are adhered to. At one restaurant, servers place round coasters in front of those diners who have ordered a decaffeinated coffee and square coasters in front of the others. Customer poka-yokes usually focus on preparing the customer for the encounter (including getting them to bring the right materials for the transaction and to arrive on time, if applicable), understanding and anticipating their role in the service transaction, and selecting the correct service or transaction. (Moderate; p. 211)45. Which kinds of services are the easiest to offer using SSTs. Explain why.Information-based services can easily be offered using SSTs. These services include not only such supplementary services as getting information, placing orders and reservations and making payment, but also delivery of core products in fields such as banking, research, entertainment and self-paced education. One innovation that has had a great impact in the Internet age has been the development of on-line auctions, led by eBay. No human auctioneer is needed to go between buyers and sellers.Many companies have developed strategies designed to encourage customers to serve themselves through the World Wide Web. They hope that this will result in customers reducing the use of more expensive alternatives like direct contact withemployees, use of intermediaries like brokers and travel agents, or voice-to-voice telephone.(Moderate; p. 219)。

Chapter 7Promoting Services and Educating CustomersGENERAL CONTENTMultiple Choice Questions1. ____________ and ____________ represent important ways to add value to a product.a.Reciprocation; classificationrmation; classificationrmation; consultationd.Reciprocation; consultatione.Reciprocation; mediation(c; Moderate; p. 171)2. One approach to training customers, recommended by advertising experts is to____________.a.train employees like customerse radio advertisingc.show service delivery in actiond.design palpable service environmentse.explain service procedures in advance(c; Moderate; p. 171)3. In ____________ services, where much of the firm’s expertise is hidden, firms mayneed to illustrate equipment, procedures, and employee activities that are taking place ____________.a.high-contact; front-stageb.low-contact; backstagec.high-contact; backstaged.low-contact; front-stagee.high-contact; intangibly(b; Challenging; p. 171)4. Which of the following is NOT one of the four problems for marketers seeking topromote a service’s benefits?a.Distributionb.Abstractnessc.Generalityd.Non-searchabilitye.Mental impalpability(a; Challenging; p. 172)5. ____________ outside peak demand periods poses a serious problem for serviceindustries with ____________, like hotels.a.Low demand; high fixed costsb.Low demand; low fixed costsc.High demand; high fixed costsd.High demand; low fixed costse.High demand; low variable costs(a; Challenging; p. 172)6. Which of the following would be classified under generality in intangibility?a.Safety.b. A hamburger.c.An airline seat.d.Facility appearance.e.Expert advice.(c; Moderate; p. 172)7. Ads based on ____________ strategies are often perceived as more informative than____________ ads.a.visualization; text-onlyb.expert; powerc.visualization; affectived.utilitarian; text-onlye.visualization; expert(a; Moderate; p. 173)8. Which of the following represents a broad target audience category?a.Donorspetitorsc.Employeesd.Contractorse.Franchisers(c; Moderate; p. 175)9. Which of the following is NOT a common educational and promotional objective inservice settings?a.Build awareness of and interest in an unfamiliar service or brand.b.Reposition a service relative to competing offerings.c.Familiarize customers with service processes in advance of use.d.Encourage trial of competing products.e.Recognize and reward valued customers and employees.(d; Moderate; p. 175)10. Which of the following is NOT a communication task for which marketers use theInternet?a.Promoting consumer awareness and interest.b.Providing information and consultation.c.Facilitating two-way communications with customers through e-mail and chatrooms.d.Enabling customers to place orders.e.Reducing service demand through electronic tracking.(e; Moderate; p. 181)True/False11. Communications is more than just advertising, public relations and professionalsalespeople. It is also where marketers explain and promote the value proposition of their offering.(True; Easy; p. 170)12. Customers do not need training to help them perform well because they alreadyknow what they want.(False; Moderate; p. 171)13. Publicizing price discounts is one way to encourage self-service on an ongoing basis. (True; Moderate; p. 171)14. In low-contact services, frontline personnel are central to service delivery. (False; Moderate; p. 171)15. Advertising and promotions do little to help change the timing of customer usage. (False; Moderate; p. 172)16. Mental impalpability refers to the fact that intangibles cannot be searched orinspected before they are purchased.(False; Challenging; p. 173)17. Communication messages originate only from the marketing and service deliverychannels of the firm.(False; Easy; p. 177)18. Sales promotion includes sampling, coupon, sign-up rebates, gifts, prize promotionsand special events.(False; Easy; p. 177)19. Direct marketing involves efforts to stimulate positive interest in an organization andits products by sending out news releases, holding press conferences, staging special events, and sponsoring newsworthy activities put on by third parties.(False; Easy; p. 179)20. Blogs (Web logs) are frequently modified Web pages in which entries are listed inchronological sequence.(False; Moderate; p. 187)Short Answer21. Give an example of an intangible abstract concept in service promotion.Financial security (expert advice, safe transportation).(Moderate; p. 173)22. List an advertising strategy used to overcome mental impalpability aspects of aservice.Case-history episode (service-process episode, service-consumption episode). (Moderate; p. 172)23. List an advertising strategy used to overcome non-searchability aspects of a service.Consumption documentation (reputation documentation).(Moderate; p. 172)24. List t he five W’s in the checklist for marketing communications planning.Who is our target audience, what do we need to communicate and achieve, how should we communicate this, where should we communicate this, and when do the communications need to take place?(Challenging; p. 175)25. What are some communications tasks that marketers use the internet for?Creating consumer awareness and interest; providing information and consultation;allowing two-way communications with customers through email and chat rooms;encouraging product trial; allowing customers to place orders; measuring the effectiveness of specific advertising or promotional campaigns.(Moderate; p. 181)Essay26. Describe the differences between traditional marketing communication strategies andservice business communication strategies.Traditional marketing communication strategies were largely shaped by the needs and practices associated with manufactured goods. Services require consideration of intangibility of service performances, customer involvement in production, the role of customer contact personnel, the difficulty in evaluating many services, and theneed to bring demand and supply into balance. Service quality is often subjective and identical service performances may mean different things to different customers.Most services also cannot be inventoried like manufactured goods and may be subject to delivery constraints.(Challenging; p. 172)27. Discuss some of the key planning considerations of marketing communications.Planning a marketing communications campaign should reflect a good understanding of the service product and how well prospective buyers can evaluate its characteristics in advance of purchase. It is therefore essential to understand target market segments an d their exposure to different media, as well as consumers’ awareness of the product and their attributes toward it.(Moderate; p. 174)APPLICATION CONTENTMultiple Choice Questions28. ____________ uses the metaphor of reaching the top to appeal to their customers.a.Prudentialb.Allstatec.Accentured.MasterCarde.Merrill Lynch(d; Challenging; p. 174)29. Tesco’s success is built on ____________.a.direct marketingb.advertisingc.personal sellingd.sales promotione.public relations(a; Moderate; p. 180)30. SAS International Hotels devised which of the following sales promotions targeted atolder consumers?a.First to provide senior citizen discounts.b.Provided a discount percent equivalent to their age.c.A free hotel room if large family gatherings were held at the hotel.d.Free ballroom service for large family gatherings.e.Discount for large family gatherings.(b; Challenging; p. 180)31. ____________ refers to a group of technologies for distributing audio or videoprograms over the Internet using a publisher/subscriber method.f.Podcastingg.Webcastingh.Websitingi.Webenablingj.Webscribing(a; Moderate; p. 184)32. _____________ technology facilitates the rise of user-generated content.a.Podcastingb.Narrowcastingc.TiVod.YouTubee.Web 2.0(e; Challenging; p. 185)True/False33. Accenture is a good example of a firm that helps it clients achieve high performance. (True; Easy; p. 173)34. UPS is strongly associated with brown, which gives it the image of being reliable and trustworthy.(True; Easy; p. 176)35. Advertising serves to build awareness, inform, persuade, and remind.(True; Easy; p. 178)36. DHL gained significant favorable publicity when it safely transported two giantpandas from Chengdu, China to the National Zoo in Washington, D.C.(False; Moderate; p. 179)37. Pinstorm built a very successful model based on banner advertising.(False; Moderate; p. 183)Short Answer38. Give an example of how Starbucks can show the contribution of service personneland backstage operations.Starbucks has publicity materials and web pages showing customers what service personnel are doing behind the scenes. Starbucks shows how coffee beans are cultivated, harvested and produced, highlighting its use of the finest and freshest.(Challenging, p. 171)39. Give an example of a metaphor used to communicate a firm’s value proposition.“You’re in Good Hands”—Allstate (Prudential’s use of the Rock of Gibraltar) (Moderate; p. 173)40. What form of communication, or communication medium, has made Googleimmensely successful?Word-of-mouth.(Challenging; p. 187)41. According to the chapter, why are BP’s bright green and yellow, Texaco’s red, blackand white, and Sunoco’s blue, maroon, and yellow so strikingly different?Corporate design is particularly important for companies operating in competitive markets. Gasoline is a particularly competitive industry and firms need to be easily recognizable in different locations.(Challenging; p. 190)42. What is one of the most widely recognized corporate symbols in the world?McD onald’s golden arches.(Easy; p. 190)Essay43. Discuss mental impalpability and provide two examples of strategies in advertisingused by some firms to overcome mental impalpability.Mental impalpability refers to the complexity, multidimensionality, or novelty of a service such that it is difficult for consumers to understand what the experience of using the service will be like and what benefits will result. An example of a firm that utilizes advertising strategies to combat mental impalpability is Accenture, who usesa golfing situation with Tiger Woods as a metaphor for the high-performancebusiness that Accenture can provide. Another example is the “priceless” experience expressed by MasterCard advertising that shows all of the tangible and intangible aspects of purchases that can be made with their service.(Moderate; p. 173)44. Discuss the impact that technology like TiVo has on marketing communicationsefforts.TiVo is the modern version of a VCR. It allows customers to pause and fast-forward through programs. This technology allows consumers to skip commercials.Developing a communications plan needs to account for this, specifically with respect to employing alternative communications strategies. More interesting/ entertaining commercials that customers desire to watch and product placement in television shows are some of the options available.(Moderate; p. 184)45. Discuss how firms use symbols as a basis for corporate branding.Companies have succeeded in creating tangible, recognizable symbols to connect with their corporate brand names. Animal motifs are common physical symbols for services. Examples include the eagles of the US Postal Service (AeroMexico and Eagle Star Insurance also feature an eagle), the lions of ING Bank and the Royal Bank of Canada, the ram of the investment firm T. Rowe Price, the Chinese dragon of Hong Kong’s Dragonair and the kangaroo on Qantas Airlines. Merrill Lynch, the global financial services company, used its famous slogan, “We’re Bullish on America” a s the basis for its corporate symbol—a bull. Easily recognizable corporate symbols are especially important when services are offered in markets where the local language is not written in Roman script or where a significant proportion of the population is are unable to read.(Challenging; p. 190)。

Chapter 3Positioning Services in Competitive MarketsGENERAL CONTENTMultiple Choice Questions1. Brand positioning can do all of the following except ____________.a.generate interest in a serviceb.create awareness for a servicec.meet customers’ needs f or a serviced.differentiate a servicee.increase adoption of a service(c; Challenging; p. 58)2. Which of the following is NOT one of the four basic focus strategies?a.Service focusedb.Unfocusedc.Fully focusedd.Refocusede.Market focused(d; Easy; p. 59)3. A ____________ is composed of a group of buyers who share common characteristics,needs, purchasing behavior, or consumption patterns.a.target classb.classc.focal segmentd.market segmente.target segment(d; Moderate; p. 60)4. A(n) ____________ is one that a firm has selected from among those in the broadermarket and may be defined on the basis of several variables.a.general segmentb.segmentation fieldc.target segmentd.holistic segmente.mass customization(c; Easy; p. 60)5. The same individuals may set different priorities for attributes according to allEXCEPT which of the following?a.The purpose of using the service.b.Who makes the decision.c.The timing of use.d.Whether the individual is using the service alone or with a group.e.The cost of the service.(e; Moderate; p. 63)6. Which of the following is the best example of a determinant characteristic for airlinetravel?a.Oxygen masksb.Plane sizec.Quality of food and drinksd.Having cocktail servicee.Floatation devices(c; Moderate; p. 63)7. ____________, refers to an explicit form of positioning strategy that is based uponoffering several price-based classes of service concept, each based on packaging a distinct level of service performance across many attributes.a.Service tieringb.Service conscriptionc.Broad-basingd.Price-settinge.Matching(a; Challenging; p. 64)8. Which of the following is NOT one of the four principles of positioning according toJack Trout?a. A company must maintain a strong labor base.b. A company must establish a position in the minds of its targeted customers.c.The position should be singular, providing one simple and consistent message.d.The position must set a company apart from its competitors.e. A company cannot be all things to all people—it must focus its efforts.(a; Moderate; p. 65)9. Market analysis addresses all of the following factors EXCEPT ____________.a.overall level of demandb.trend of demandernment regulationsd.geographic location of demande.market analysis addresses all of the above factors(c; Easy; p. 68)10. Competitive analysis addresses all of the following factors EXCEPT ____________.a. examines competitors’ strengthsb. identifies competitors’ future positioningc. examines competitors’ current positioningd. examines competitors’ weaknessese. suggests opportunities for differentiation(b; Moderate; p. 68)True/False11. It is usually a good idea for firms to try to appeal to all potential buyers in a market,because customer variety leads to full capacity.(False; Moderate; p. 58)12. Market niches that seem too narrow to offer sufficient sales in one country areindicative of globally narrow market niches.(False; Moderate; p. 59)13. A fully-focused organization concentrates on a narrow market segment, but has awide range of services.(False; Moderate; p. 59)14. One of the reasons why firms with a narrow product line elect to serve multiplesegments is to create a portfolio of customers that hedge against low demand risks. (True; Challenging; p. 59)15. A service-focused firm offers a narrow range of services to a fairly broad market. (True; Moderate; p. 60)16. A target segment should only be selected on the basis of their sales and profitpotential.(False; Moderate; p. 60)17. No service attribute can be easily quantified because of the intangibility of services. (False; Challenging; p. 63)18. Positioning plays a pivotal role in marketing strategy, because it links marketanalysis and competitive analysis to environmental analysis.(False; Challenging; p. 67)19. The objective of internal corporate analy sis is to identify the organization’s resources,any limitations or constraints, its goals, and how it values shape the way it does business.(True; Easy; p. 68)20. The best way to anticipate possible competitive responses is to identify all current orpotential competitors and to put oneself in their own management’s shoes by conducting an internal corporate analysis for each of these competitors.(True; Moderate; p. 68)Short Answer21. What are the two dimensions along which a company’s focus can be described?Market and service.(Easy; p. 59)22. What are the characteristics of an unfocused service category?Serving broad markets and providing a wide range of services.(Moderate; p. 59)23. Distinguish between important and determinant attributesImportant attributes represent what customer’s value in a service, whereas determinant attributes are those that actually determine buyers’ choices between competing alternatives.(Moderate; p. 63)24. Why is it possible to segment customers according to price levels?Customers have different sensitivities to price. Price insensitive customers are willing to pay a relatively high price to obtain high levels of service. Price sensitive customers look for inexpensive service with relatively low levels of performance. (Moderate; p. 64)25. What are the three types of analysis to consider when developing a marketpositioning strategy?Market analysis, internal analysis, and competitor analysis.(Moderate; p. 67)Essay26. Explain what a fully-focused and a market-focused strategy are and discuss theopportunities and risks inherent in selecting each strategy.A fully-focused organization provides a limited range of services to a narrow andspecific market segment. Opportunities in this strategy include developing recognized expertise that retains a competitive advantage over other firms. A risk is that the market may be too small to generate the volume of business necessary.A market-focused organization concentrates on a narrow segment with a wide rangeof services. This strategy offers the opportunity to sell multiple services to a singlecustomer that enhances the value of promotional efforts. Managers need to ensure that the firm has the ability to excel at many different tasks and understand what services go together per customer purchasing practices and preferences. (Challenging; p. 59)27. What are the advantages of positioning charts?Graphic repres entations of a firm’s profile and product positions are much easier to understand than tables of quantitative data or paragraphs of writing. Charts and maps can help to achieve a “visual awakening.”By allowing senior managers to compare their business with that of competitors and understand the nature of competitive threats and opportunities, visual presentations can highlight gaps between how customers (or potential customers) see the organization and how management sees it. This can thus help confirm or get rid of beliefs that a service ora firm occupies a unique position in the marketplace.(Moderate; p. 76)APPLICATION CONTENTMultiple Choice Questions28. Bright Horizons strategy included which of the following?a.Marketing services to employers instead of parents.b.Hiring inexpensive labor.moditized service offerings.d.Heavy regulatory oversight.e.All of the above are strategies employed by BH.(a; Moderate; p. 57)29. Segmentation variables at Contiki Holidays include all of the following EXCEPT____________.a.geographicb.incomec.lifestyled.household sizee.age(d; Challenging; p. 62)30. Which of the following is most likely the determinant attribute for customers ofCEVA Logistics, who have global operations?a.number of trucksb.reachc.delivery timesd.mode of deliverye.online booking of services(b; Challenging; p. 64)31. Capsule hotels originated from _____________.a.New Yorkb.Londonc.Japand.Indiae.Malaysia(c; Easy; p. 65)32. Grant Thornton, the fifth largest firm in the accounting industry, has successfullypositioned itself as offering ____________ and having ____________.a.high inves tment yield; “a passion for the business of accounting”b.limited financial obligation; “a desire to exceed expectations”c.easy access to partners; “a passion for the business of accounting”d.low employee turnover; “a desire to exceed expectations”e.high asset turnover; “a passion for the business of accounting”(c; Moderate; p. 66)True/False33. United Church Homes & Services offers housing to retirees. This is an example of amarket focused strategy.(False; Moderate; p. 58)34. Rentokil started off as a firm that manufactured rat poison and a pesticide for killingleeches.(False; Easy; p. 61)35. Yotel and Qbic are capsule hotel chains.(True; Easy; p. 65)36. Bright Horizons used low-cost strategies to achieve their competitive advantage. (False; Moderate; p. 67)37. Google has expanded its offerings to include Google Earth and You Tube in orderincrease sales and attract new customers.(True; Moderate; p. 69)Short Answer38. Give an example of service tiering in the airline industry.Classes (first, business, economy),(Easy; p. 64)39. Give an example of an industry that utilizes service tiering.Hotels, airlines, car rentals, hardware and software support, healthcare insurance, cable television, and credit cards.(Easy, p. 64)40. Give an example of a key service attribute used in transportation services.punctuality.(Easy; p. 64)41. What were the main benefits of capsule hotels when they first started up?Convenience and price.(Easy; p. 65)42. Give an example of a service firm that used the blue ocean strategy to makecompetition irrelevant.Cirque du Soleil changed the image of circus shows with its brand of ballet andtheater.(Moderate; p. 69)Essay43. Discuss the analysis that took place to develop Bright Horizons and the ways inwhich they overcame unappealing industry characteristics.Bright Horizons (BH) is a childcare company that was born from an industry with many unappealing characteristics. The firm’s analysis showed an industry with no barriers to entry, chronically low margins, high labor intensity, no proprietary technology, low economies of scale, weak brand distinction, and heavy regulatory oversight. Instead of establishing new independent centers, BH formed partnerships with companies to provide daycare services to employees with small children. The advantages over traditional methods included a powerful, low-cost marketing channel, a partner to supply the capital to build and outfit the centers, a partner witha vested interest in the success of the programs, and proximity benefits to parents. (Moderate; p. 57)44. How did Rentokil Initial grow from a manufacturer of rat poison, to the world’s largebusiness support services company?Through growth within the firm and buying over other companies, Rentokil Initial has developed an wide range of products that includes testing and safety services;security; parcels delivery; interior plants landscaping (including sale or rental of tropical plants); specialized cleaning services; pest control; rental and cleaning of uniforms; clinical waste collection and disposal; personnel services; and a washroom solutions service. The firm sees its core competence as “the ability to carry out high quality services on other people’s premises through well-recruited, well-trained, and motivated staff.” Promoting use of additional services to existing customers is an important part of the firm’s strategy. Initial Integrated Services offers clients full integration of services. Clients purchase sector-specific solutions that deliver multiple services but features just “one invoice, one account manager, one helpdesk, one contract and one motivated service team”. Rentokil Initial’s success lies in its ability to position each of its many business and commercial services in terms of the company’s core brand values, which include providing superior standards of customer care and using the most technically advanced services and products. (Moderate; p. 61)45. Discuss who Smart Communication Ltd’s customers are and some of the uniqueways Smart Communication Ltd goes about servicing them.Smart Communications Ltd’s customers are the low-income group in Philippines.When they wanted to target that group of customers, they looked at Proctor and Gamble for ideas on how to keep product prices low. They found that there are micropacks for items such as shampoo, soaps, and food at low-ticket prices.Therefore, when they launched their mobile service to the low-income group, they offered prepaid pricing plans with airtime in small packages, with prices in small denominations that started from as low as US$0.50. This strategy turned out to be a resounding success.(Moderate; p. 62)。