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In many nonprofit situations the consumer is not charged a tangible price yet must absorb time costs,embarrassment costs,or effort costs.These costs are called the organization's:


A) liquidity fees
B) financial costs
C) fiscal prices
D) nonfinancial prices
E) retained earnings

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

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The gap model of service quality identifies five gaps that can cause problems in service delivery and influence customer evaluations of service quality.

A) True
B) False

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Smithsonian Children's Exhibit A children's exhibit at the Smithsonian Institution's International Gallery was titled, "Microbes: Invisible Invaders . . . Amazing Aliens." The 5,000-square-foot interactive exhibit uncovered a mysterious and virtually invisible universe of microscopic organisms--from those that sustain life to those that threaten our health. Its purpose was to show children that microbes are basically germs. The exhibit shows how researchers and others fight infection worldwide. The exhibit had hands-on activities, including a model kitchen where children learned about good and bad microbes. A virtual reality game with holograms and 3-D animations let participants combat deadly viruses. The long-term objective of the exhibit was to ensure the world's supply of microbiologists in the upcoming decades. NARREND -Refer to Smithsonian Children's Exhibit.The _____ makes it difficult for the Smithsonian 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 exhibit
D) absence of service qualities
E) presence of intangible factors

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

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Boutique Hotels In an industry where guests are tired of cookie cutter hotels, some consumers are looking for personalized service, which can be found in boutique hotels. Boutique hotels cater to their guests' sense of their personal image as being discriminating, more sophisticated, and more hip. Frequently, these guests don't want to be where the crowds are. This is a small but growing market niche. There are no generally recognized rules for boutique hotels, but they tend to be small and service oriented, with high-style decor and top-notch restaurants. Employees are called cast members. Amenities include cordless phones, DVR players hooked up to high-definition televisions, Aveda brand bath and hair products, and down comforters and pillows. -Refer to Boutique Hotels.Boutique hotels encourage employees to develop personal relationships with guests.The hotels offer value-added services that are not available at traditional hotels.At which level of relationship marketing are these hotels operating?


A) first
B) second
C) third
D) fourth
E) fifth

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

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_____ is the strategy that uses technology to deliver customized services on a mass basis.


A) Mass standardization
B) Aggregated services
C) Technological processing
D) Mass customization
E) Aggregated marketing

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

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Alec had his gall bladder removed,but he was unconscious during the operation. In fact,even though he has an incision,he really has no way of knowing if the service was actually performed even after it was allegedly performed. That is because medical services such as this exhibit _____ qualities.


A) credence
B) perishable
C) experience
D) search
E) Homogeneity

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

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In a nonprofit organization,_____ are often concerned with partially or fully defraying costs rather than achieving a profit.


A) nonfiscal costs
B) pricing objectives
C) cause-related goals
D) equity earnings
E) liquidity fees

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

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Services tend to exhibit more search qualities than do tangible goods.

A) True
B) False

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One of the reasons consumers can purchase cheap flights or hotel rooms on Web sites such as Expedia.com and Hotels.com is due to the fact that airlines cannot sell the seat on a specific flight after the plane takes off or hotels cannot recoup the revenue from that room for that night once the night passes. Which unique characteristic of services does this illustrate?


A) intangibility
B) inseparability
C) perishability
D) simultaneous production and consumption
E) variability

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

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Grizzly Watching Have you ever wanted to spend your vacation up close and personal with a grizzly bear? Great Bear Nature Tours is one of the many lodges that provide that service. Great Bear, located in British Columbia, is actually a lodge built on a floating barge. The lodge can handle up to ten guests in what the Wall Street Journal calls rustic but upscale accommodations in double rooms that begin at a rate of $1,418 per night, including bear watching tours. Although bear hunting still brings tourists to Canada, bear watching is a growing attraction. On a bear watching tour the guide, who is often unarmed, will take you close enough to get a good view of a grizzly in the wild. In fact, one of the favorite tours allows you to watch bears swipe at salmon as they swim upstream to spawning grounds. While bear watching sounds dangerous, bear attacks are not common. However, just to be careful many tour guides carry pepper spray. Tour guides say they are able to keep tour members safe by watching the bears and reading their body movements. -Refer to Grizzly watching.The bear watching vacation experience can vary greatly depending on many factors,including the lodge itself and the tour guide.For example,lodging can run from a "rustic" room with little more than a bed to a plush room with all the modern amenities.This is an example of the _____ characteristic of services.


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

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

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The most basic benefit the consumer is buying in a service is referred to as the:


A) primary service
B) inherent service
C) core service
D) tangible service
E) complete service

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

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Discuss the limitations nonprofit marketers face when making promotion decisions and describe how they overcome these limitations.

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Many nonprofit organizations are prohibi...

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

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The core service is the most basic benefit the consumer is buying.

A) True
B) False

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One marketing issue unique to nonprofit organizations is that these organizations must often target those who are apathetic about or strongly opposed to receiving their services.

A) True
B) False

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Often hotels will offer deep discounts on weekends and during the off-season; for the same reason,airlines will adopt a similar pricing strategy during off-peak hours.These services cannot be stored,warehoused,or inventoried because they are perishable.

A) True
B) False

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

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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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Which type of service processing occurs when the service is directed at customers' physical possessions such as cars,homes,or clothing?


A) people processing
B) possession processing
C) mental stimulus processing
D) information processing
E) tangible processing

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

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Hyatt Regency's Platinum Card Program allows members to bypass any line at the check-in desk and get immediate check-in service.In this example,_____ are developed by offering value-added services that are not readily available from other hotel chains.


A) price incentives
B) social bonds
C) service delivery paradigms
D) personal communication channels
E) structural bonds

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

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