OPERATIONS RESEARCH
Note:
SECTION A
A. Intangibility.
B. Less demand
A. Insurance.
B. Farming.
C. Mining.
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B. Effort, objects, and deeds.
4. Which of the following statements about the pricing of services (compared to the pricing of goods) is
false?
A. The demand for services tends to be more elastic than the demand for goods.
D. Consumers are less able to stockpile services by taking advantage of discount prices.
5. Charging customers different prices for essentially the same service is called:
A. Price discrimination.
C. Complementary.
D. Substitutes.
6. Businesses such as fast food restaurants would fall where along the Scale of Market Entities?
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D. Left of the middle towards the tangible-dominant side.
A. Engineering.
B. Education.
C. Insurance.
D. Banking.
9. Understanding the customer is a critical step toward minimizing or completely eliminating the:
A. Knowledge gap.
B. Standards gap.
C. Delivery gap.
D. Communications gap.
A. Services marketing.
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B. Marketing management.
C. Marketing myopia.
D. Customer experience.
11. The demand for services marketing knowledge has increased for all of the following reasons except
13. Services are characterized by all of the following characteristics except for
A. Intangibility.
B. Homogeneity.
C. Perishability.
D. Inseparability.
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14. Which of the following statements is false?
15. Of the four unique service characteristics that distinguish goods from services, the one that is the
A. Intangibility.
B. Inseparability.
C. Perishability.
D. Heterogeneity.
17. Services that occur without interruption, confusion, or hassle to the customer is called:
A. Seamless service.
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B. Service audit.
C. Functional service.
D. Departmental service.
A. Rent.
B. Overhead.
C. Labour.
D. Promotional expenses.
19. The mental energy spent by customers to acquire service is referred to as _____.
A. Image costs.
B. Monetary price.
C. Energy costs.
D. Psychic costs.
20. The unique service characteristic that reflects the interconnection between the service firm and its
customer is called
A. Intangibility.
B. Inseparability.
C. Homogeneity.
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D. Perishability.
21. Marketing problems caused by inseparability include all of the following except for
22. The fact that services are sold and then produced and consumed simultaneously is attributed to
A. Intangibility.
B. Inseparability.
C. Homogeneity.
D. Perishability.
A. Inseparability.
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B. Intangibility.
C. Homogeneity.
D. Perishability.
25. Possible solutions that firms use to minimize the problems caused by inseparability include all of the
following except
26. The primary solution to overcome the centralized mass production problems attributed to
inseparability is
27. The service characteristic that reflects the variation in consistency from one service transaction to
the next is
A. Inseparability.
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B. Intangibility.
C. Homogeneity.
D. Heterogeneity.
A. Less expensive.
C. Delivered faster.
D. More consistent.
30. Solutions used to minimize the marketing problems attributed to heterogeneity include
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31. The unique service characteristic that deals specifically with the inability to inventory services is
A. Inseparability.
B. Intangibility.
C. Homogeneity
D. Perishability.
A. Services which are not sold when they become available cease to exist.
B. The production and consumption of services cannot be separated by time and space.
D. Due to the lack of inventories, marketing and operations must work much closer together.
33. Which of the following scenarios is likely to lead to the highest levels of customer dissatisfaction?
34. Which of the following strategies increases the supply of service available to consumers?
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C. Capacity sharing.
36. The demand strategy in which service providers utilize their downtime by marketing to different
segments with different demand patterns is associated with which of the following?
C. Capacity sharing.
37. Which of the following statements pertaining to the SERVQUAL scale is incorrect?
A. The SERVQUAL dimensions were obtained through extensive focus group interviews.
D. SERVQUAL compares perceptions to what a customer should expect from a firm the delivers
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high-quality services.
38. Which of the following statements most accurately reflects a marketing logic?
C. Personnel should be able to break organization rules in the context of serving the customer.
D. Customers should be provided with options that enable them to meet their needs.
C. Customer participation in services may result in some loss of control by the service establishment.
D. The marketing department of service organizations must maintain a much closer relationship with
40. The __________ dimension is an assessment of the firm's consistency and dependability in service
performance.
A. Empathy.
B. Responsiveness.
C. Assurance.
D. Reliability.
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41. Which one of the following strategies is used to alter consumer demand?
C. Sharing capacity.
43. Minimizing the amount of role conflict and role ambiguity experienced by employees will help
A. Knowledge gap.
B. Standards gap.
C. Delivery gap.
D. Communications gap.
A. Intangibility.
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B. Inseparability.
C. Heterogeneity.
D. Perishability.
A. Intangibility.
B. Inseparability.
C. Heterogeneity.
D. Perishability.
A. Intangibility.
B. Inseparability.
C. Heterogeneity.
D. Perishability.
A. Intangibility.
B. Inseparability
C. Heterogeneity.
D. Perishability.
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48. Which of the following is not a component of a service quality information system?
A. Mystery shopping.
C. After-sale surveys.
A. Service failures.
B. Critical incidents.
C. Service recovery.
D. Instrumental complaints.
A. Intangibility.
B. Inseparability.
C. Heterogeneity.
D. Perishability.
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SECTION B
51. It is generally accepted that the _______ includes the soft parts of the economy consisting of
several sub-sectors.
A. Service economy.
B. Industrial economy.
C. Agricultural economy.
D. Information economy.
52. The world's largest industry in the private sector and highest projected generator of jobs is______
A. Business services.
C. Health services.
D. Professional services.
A. Educational.
B. Finance.
C. Government.
54. The service sector that is the fastest growing sector in terms of employment is
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A. Wholesale and retail trade
B. Financial activities
55. The leisure and hospitality industry comprises a variety of services. Which of the following is not
one of them?
A. Food service.
B. Lodging.
D. Health services.
56. A large proportion of people employed in the hospitality and leisure sector are
A. Young.
B. Female.
C. Part-time employees.
57. The professional and business sector includes all of the following except
A. Architectural engineering.
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C. Hospital service.
D. Accounting service.
58. Which sector should have the most concern for environmental issues?
A. Transport services.
59. Traditional service classification schemes include all of the following except
60. Subsequent service classification schemes include all the following except
A. Labour intensiveness.
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A. Electronic database of sales transactions.
63. To date, the most successful distribution of e-services has occurred through ______
64. E-services have overcome many of the traditional challenges faced by service marketers. Which of
A. Intangibility.
B. Homogeneity.
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C. Inseparability.
D. Heterogeneity.
65. E-services can overcome some of the challenges provided by intangibility by which of the
following?
A. Appearance of a website.
B. Accuracy of information.
66. Hotel rooms that are not sold on Thursday night cannot be added to the supply of rooms available
for occupancy on Friday night. E-services are not faced with these problems of
A. Perishability.
B. Intangibility.
C. Homogeneity.
D. Inseparability.
67. Replacing tasks that required human labour with machines is called
A. Quantization.
B. Automation.
C. Industrialization.
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D. Customization.
68. The growth in the number of time-pressured consumers has led to an increase in time-saving
services such as
A. Restaurants.
B. Housekeeping.
C. Hairstyling shops.
A. Out servicing.
B. Outsourcing.
C. Off shoring.
D. Industrialization.
70. Several guidelines to success become clear when examining the growth and dominance of the
B. Bigger is better.
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71. Focusing the firms marketing efforts toward the existing customer base is called
A. Customer retention.
C. Conquest retention.
D. Courteous retention.
72. Which of the following statements pertaining to firm's customer retention efforts is true?
A. The marketing costs associated with keeping customers are higher than the costs associated with
73. The pursuit of new customers as opposed to the retention of existing ones is called
A. Services marketing.
B. B2B marketing.
C. Conquest marketing.
D. Consumer marketing.
74. According to the text which one of the following statements is false?
A. Many service firms continue to be operations dominated rather than customer oriented.
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B. Consumer orientation lies at the heart of the marketing concept.
D. Differences exist between the way consumers make decisions regarding purchase of services
versus goods.
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