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Exam 1: Introduction to Services

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Question 1

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Garrett and Hugh were having breakfast when they decided they wanted to have pizza and watch a video that night. Garrett turned on her computer, brought up the site of a local video store and ordered the movie Cold Mountain to be delivered to her doorstep at 7 p.m. Next she logged on to her favorite pizza restaurant's Web site and ordered a large pepperoni pizza and a bottle of her favorite soda to be delivered at 6:45 p.m. Garrett and Hugh enjoyed their evening. The next morning the video store had someone pick up their tape at Hugh's office. Which trend that influenced the development of services marketing is illustrated here?

A) The increasing importance of service industries to the U.S. and world economies
B) The decrease of human interaction as a result of widespread use of technology-based services
C) The growth in the use of technology-based services
D) Increased competition in the entertainment industry
E) The fact that manufacturing firms are placing increased emphasis on providing services

F) B) and E)
G) B) and C)

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Question 2

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Extron Electronics makes coaxial cables for connecting computers to all types of peripheral devices like printers, modems and fax machines. For the benefit of its customers, Extron provides a laminated card with pictures of all the possible cable connections that a customer could need. With this card, a customer can order from one to any number of connectors with as many feet of cable as is needed. Orders can be placed using a toll-free number, a fax number or an e-mail address. Company reps are also available 24-hours a day in case the customer is not sure which drawing on the card matches his or her needs. Orders are shipped within 48-hours of receipt. If a customer is not completely satisfied with his or her order, Extron has a 100 percent satisfaction guaranteed return policy. Which of the following trends that has influenced the development of services marketing concepts and strategies as illustrated by Extron's focus on customer service?

A) The increasing importance of service industries to the U.S. and world economies
B) The increase of government regulation of service industries
C) The growth in information-based technology
D) Increased competition in professional services
E) Manufacturing firms are placing increased emphasis on providing services

F) C) and D)
G) A) and D)

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Question 3

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Historically, the Japanese have had poor dental care. As part of their beauty regimen, the Japanese do have a habit of lightening and whitening their skin. Teethart has developed "tooth manicure" salons, which allow Japanese to match their teeth coloration to their skin. A personalized whitening mouthpiece is developed for each patient. The mouthpiece is placed around the teeth and a cleaning solution is added. The patient listens to soothing music and sits in a comfortable chair while his or her teeth are whitened. Monthly treatments in this spa-like environment reflect the _____ element of Teethart's service mix.

Many people when they go on vacation are choosing to leave their dogs in posh pet resorts that offer a variety of activities for the dogs, such as swimming pool frolics, nature walks and hayrides. Dog owners are paying $17 per night for basic boarding at the pet resorts and up to an additional $20 for the other activities, which would be collectively classified as:

The Offshore Sailing School in Jersey City, New Jersey offers a basic sailing course, which takes place in three days over two weekends, for $495. Students enrolled in the course attend classroom sessions that cover the theory and technology of sailing and receive hands-on sailing instructions in the water that introduces them to all fundamental sailing skills. Student participation in the Offshore Sailing School's classroom sessions and hands-on sailing instructions illustrates the _____ characteristic of services.

In addition to the elements of the traditional marketing mix, the expanded mix for services includes:

Luke Rison has developed a great new massage therapy that can completely alleviate the pain produced by the typical migraine headache. He wants to patent his massages. What is wrong with this plan?

What do tax preparation services, law offices, dental practices and architects have in common?

The characteristic of a service that refers to differences in employees' performances is:

The development of services marketing concepts has been strongly influenced by professional services like doctors and attorneys.

Because of the _____ of services, service producers find themselves playing a role as part of the product itself and an essential ingredient in the service experience for the consumer.

On a recent visit to The Home Depot store, a sales associate greeted Gigi when she entered the store, helped her locate the items she needed to repair her gutters and suggested how she could prevent gutter problems in the future. The assistance provided by the sales associate illustrates the ______ of services.

Pricing is easier when marketing services than when marketing goods.

A primary issue that marketers face in relation to service perishability is ensuring service quality over time.

Keith overheard two women comparing the way the dog groomer clipped their poodles. One claimed the groomer did not cut the hair between her dog's toes as was advertised, but that everything else about the cut was perfect. The other groused that the groomer left the hair on her dog's tail too long, but at least the hair on his feet had been cut. Which characteristic of service were the two women discussing?

The characteristic of a service that means that it cannot be seen, felt, tasted or touched is:

Technology is creating a demand for ethnocentric services.

Last November, Andrew and Jana went to talk to a wedding consultant about planning their June wedding. The consultant congratulated them on thinking ahead and then began to ask them questions about what kind of wedding they wanted. She gave them a book that contained all the information they needed to plan a memorable wedding. They met with the consultant regularly to talk about how the plans were coming and made more decisions with her help. The consultant helped them with everything from invitations to wedding reception favors. She even went with Jana to select her wedding gown and her bridesmaids' gowns. The sort of assistance provided by the wedding consultant illustrates the _____ of services.

Andreason Removal Company removes asbestos from old houses and buildings. Which of the following is an example of the people element of services marketing mix?

List the four characteristics of service and discuss how each would impact the marketing of a chain of fitness centers that is being started by six former Olympic athletes.