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Chapter 12—Designing and Managing Services
True/False Questions
A service is any act or performance that one party can offer to another that is essentially intangible and does not result in the ownership of anything. True (easy) p. 229
The fact that services are used or consumed at the time of their creation is an example of the service characteristics of intangibility. False (moderate) pp. 229-230
The quality of services depends upon the provider, location, circumstances, and time. This fact illustrates the service characteristic of variability. True (moderate) p. 230
When AmeriSuites Hotel chain leaves cards on its check-in desk for consumers to comment on the service they received, it is an example of one way to deal with service intangibility. False (difficult) p. 229-230
The fact that services are generally consumed as they are produced describes the service characteristic of inseparability. True (moderate) p. 230
One way to decrease perishability of a service is to monitor customer satisfaction through a suggestion and complaint system. False (difficult) p. 230
Internal marketing describes the work a company does to train and motivate its employees to serve customers well. True (moderate) p. 232
Booms and Bitner suggest these three Ps that service providers must pay attention to: people, physical evidence, and place. False (easy) p. 231
Internal marketing describes the work done by the company to train and motivate its employees to serve the customers well. True (moderate) p. 232
A pure tangible good is an offering that may consist of the good plus some accompanying services. False (moderate) p. 229
Since products are generally higher in experience and credence qualities than services, consumers will generally rely more on word of mouth than on service firm advertising. False (moderate) p. 233
Characteristics a buyer can evaluate before purchase are called search qualities. True (moderate) p. 233
Experience qualities are characteri
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