Designing and Managing Services - Quiz

1. Question: Internal marketing in services means

Training and motivating employees to deliver service excellence

Promoting products to suppliers

Advertising to internal stakeholders

Outsourcing internal functions

2. Question: Word-of-mouth is especially powerful in services because

Customers rarely talk about experiences

Advertising dominates perceptions

Services have fixed pricing

Services are intangible and rely on personal recommendations

3. Question: Technology in service delivery improves

Manual labor dependency

Cost inefficiency

Efficiency, accuracy, and convenience

Tangibility of products

4. Question: In the SERVQUAL model, Gap 5 represents the difference between

Expected and perceived service

Service delivery and design

Internal marketing and external marketing

Customer and employee satisfaction

5. Question: Customer Lifetime Value (CLV) measures

Average purchase size

Customer review frequency

Number of service encounters per month

Net profit from a customer over their entire relationship

6. Question: Frontline employees in services are also known as

Production agents

Internal marketers

Process designers

Boundary spanners

7. Question: Fluctuating demand in services can be managed through

Fixed schedules only

Flexible staffing and dynamic pricing

Eliminating customer variation

Reducing supply permanently

8. Question: The “zone of tolerance” in service quality refers to

Service provider error rates

Employee turnover rate

Acceptable variation between desired and adequate performance

Customer dissatisfaction levels

9. Question: Which of the following is not part of SERVQUAL?

Empathy

Reliability

Durability

Tangibles

10. Question: Complaint handling effectiveness determines

Brand awareness only

Sales promotion success

Long-term loyalty and recovery satisfaction

Distribution network strength

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