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After years of expansion,Starbucks recently closed 600 of its poorer performing stores.Many of the stores closed were near other Starbucks locations.In those areas management felt that the company had too many outlets,which was boosting the company's cost unnecessarily.Decisions concerning the number of outlets are a part of the _____ strategy of service organizations.


A) distribution
B) promotion
C) production
D) product
E) demand/supply

F) A) and E)
G) C) and E)

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TeamBuilds is a service organization that has corporate teams pay $7,500 for an all-day team-building session with a management consultant while they work together on renovating a Habitat for Humanity home.Which category of service processing does TeamBuilds offer?


A) Possession processing
B) Information processing
C) Mental stimulus processing
D) People processing
E) Homogeneous processing

F) A) and E)
G) None of the above

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Got Milk Just because consumers live in a big city doesn't mean they can't have fresh milk right from the farm.Many dairy farms,such as Oberweis Dairy and Smith Brothers Farms,offer home delivery of fresh milk,just like in the old days.While some of these services are established and have been around since the 1920s,New York City-based Manhattan Milk started up in 2008.For $20 or more,depending on what is ordered,consumers anywhere in Manhattan can enjoy organic milk,butter,yogurt,and cheese from Pennsylvania Amish farms and eggs from Vermont.Unlike most store-bought milk,theirs is unhomogenized and free from hormones typically given to cows to produce more milk. -Refer to Got Milk .Manhattan Milk is an example of a:


A) retail operation
B) service
C) wholesale intermediary
D) facilitator
E) manufacturer

F) A) and C)
G) A) and B)

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A focus on maximizing the number of customers using a service is a(n) _____ pricing objective for service firms.


A) maximization of demand
B) patronage-oriented
C) profitability-oriented
D) operations-oriented
E) revenue-oriented

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

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Maribeth and Asher are trying to think of someplace to take their kids this weekend.Asher thinks it might be fun to take the kids to Coco Key,an indoor waterpark located in a nearby city.However,since no one in the family has ever been to Coco Key before,they will be unable to assess the _____ of the waterpark until they actually visit.


A) tangible attribute
B) experience quality
C) creative quality
D) credence quality
E) heterogeneity feature

F) A) and E)
G) A) and B)

Correct Answer

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Cincinnati Museum Center The Cincinnati Museum Center is home to the Cincinnati History Museum,the Duke Energy Children's Museum,and the Museum of Natural History and Science.The Cincinnati History Museum displays materials and related aspects of the history of Cincinnati and the surrounding region.Costumed interpreters throughout the museum allow visitors the unique opportunity make a personal connection with the past.The educational and dramatic exhibits at Duke Energy Children's Museum allow kids to climb,crawl,explore and learn about themselves and the world around them.And the Museum of Natural History and Science gives children hands-on,inquiry based experiences in science,technology,engineering and math. -Refer to Cincinnati Museum Center.The visitors to the Cincinnati Museum Center represent the museum's:


A) service entity
B) promotional tools
C) target market
D) benefit strength
E) benefit complexity

F) B) and D)
G) B) and C)

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U.S.service firms such as financial institutions and construction,engineering,and insurance companies will have a difficult time expanding to global markets because competing foreign firms possess many competitive advantages.

A) True
B) False

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"Girls Just Wanna Have Funds" is a Washington,D.C.support group that consist of mostly young women that offers tips on budgeting and debt relief.Since you cannot evaluate the quality of the financial advice until after you have received it,this is an example of the _____ characteristic of service.


A) reliability
B) heterogeneous satisfaction
C) search quality
D) temporal quality
E) experience quality

F) A) and C)
G) A) and B)

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Which of the following services would be most likely to exhibit strong credence qualities?


A) A math tutorial service
B) The repair of a leaky drain
C) The preparation of a dead body for burial
D) Tax return preparation
E) A landscaping service that mows lawns

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

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It is difficult for most of us to talk about mistakes we have made.Unfortunately,for organizations like Consumer Credit Counseling to help you work through your financial issues,you must be willing to honestly discuss your financial condition.In other words,for these organizations to help you must be actually involved in the process of developing your financial plan,which points to the _____ nature of services.


A) intangible
B) inseparable
C) heterogeneous
D) perishable
E) flexible

F) A) and E)
G) C) and E)

Correct Answer

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If a benefit is indirect to the customer,the marketer may find a challenge in promoting a product with little:


A) benefit complexity
B) feature charisma
C) benefit strength
D) personalization
E) benefit exchange

F) B) and D)
G) All of the above

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Virtual Bellhop is a company that ships awkward sporting goods to vacation destinations so its customers to not have to worry about lugging them through airports or having them damaged in transit.Thus far,its record for getting the sporting equipment to the correct destination for the vacationer is perfect.This indicates the company excels at which component of service quality?


A) Tangibles
B) Empathy
C) Reliability
D) Flexibility
E) Assurance

F) A) and B)
G) A) and C)

Correct Answer

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Services have four unique characteristics that distinguish them from goods.Name and briefly define each of these four characteristics.Use the example of an airline to help describe each of the four characteristics.

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INTANGIBILITY.Services are intangible;th...

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Auto repair,manicures,and landscaping are all services that are produced and consumed at the same time.All of these services exhibit the service characteristic of:


A) inseparability
B) intangibility
C) heterogeneity
D) perishability
E) variability

F) D) and E)
G) B) and D)

Correct Answer

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Got Milk Just because consumers live in a big city doesn't mean they can't have fresh milk right from the farm.Many dairy farms,such as Oberweis Dairy and Smith Brothers Farms,offer home delivery of fresh milk,just like in the old days.While some of these services are established and have been around since the 1920s,New York City-based Manhattan Milk started up in 2008.For $20 or more,depending on what is ordered,consumers anywhere in Manhattan can enjoy organic milk,butter,yogurt,and cheese from Pennsylvania Amish farms and eggs from Vermont.Unlike most store-bought milk,theirs is unhomogenized and free from hormones typically given to cows to produce more milk. -Refer to Got Milk? Customers place orders at manhattanmilk.com two days before the delivery date.The Internet allows Manhattan Milk to customize each customer's order to their preferences.This is an example of:


A) supplementary product
B) intangible product
C) mass customization
D) promotion strategy
E) internal marketing

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

Correct Answer

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Which level of relationship marketing uses pricing incentives but also seeks to build social bonds with customers?


A) Level 1
B) Level 2
C) Primary level
D) Secondary level
E) Supplemental level

F) B) and E)
G) A) and B)

Correct Answer

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A(n) _____ is the result of applying human or mechanical efforts to people or objects.


A) application processor
B) profit intermediary
C) tangible product
D) service
E) nonprofit organization

F) All of the above
G) B) and E)

Correct Answer

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Cincinnati Museum Center The Cincinnati Museum Center is home to the Cincinnati History Museum,the Duke Energy Children's Museum,and the Museum of Natural History and Science.The Cincinnati History Museum displays materials and related aspects of the history of Cincinnati and the surrounding region.Costumed interpreters throughout the museum allow visitors the unique opportunity make a personal connection with the past.The educational and dramatic exhibits at Duke Energy Children's Museum allow kids to climb,crawl,explore and learn about themselves and the world around them.And the Museum of Natural History and Science gives children hands-on,inquiry based experiences in science,technology,engineering and math. -Refer to Cincinnati Museum Center.The _____ makes it difficult for the Cincinnati Museum Center to prioritize its objectives and evaluate its performance.


A) creation of a benefit strength
B) lack of a financial objective
C) inability to promote the exhibits
D) absence of service qualities
E) presence of intangible factors

F) All of the above
G) A) and B)

Correct Answer

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A continuing problem for most Minor League Baseball (MiLB) teams is low attendance.Event and venue sponsors want to see fans in the stadiums,and the players appreciate fan support.Given this information,which pricing strategy would you recommend MiLB teams use?


A) Operations-oriented pricing
B) Peak profitability pricing
C) Patronage-oriented pricing
D) Supply-demand pricing
E) Revenue-oriented pricing

F) A) and B)
G) None of the above

Correct Answer

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The Monroe Job Training for the Disabled program wants to notify the community about its upcoming rummage sale.As an experienced marketer and director of the program,you plan to visit several local radio and televisions stations to request:


A) cooperative advertising
B) nonsponsored advertising
C) primary advertising
D) public service advertising
E) nonprofit advertising

F) A) and B)
G) A) and C)

Correct Answer

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