Q. Ch1

What percentage of GDP worldwide is accounted for by services?

• Almost 25%

• Almost 50%

• Almost 75%

• Almost 100%

Which of the following is NOT considered a service industry?

• Healthcare

• Manufacturing

• Hospitality

• Transportation

Which of the following is NOT a force transforming the service economy?

• Advances in information technology

• Changes in government policies

• Increased consumer affluence

• Growth of the internet

How do business-to-business (B2B) services drive economic development?

• By increasing costs for manutacturing firms

• By outsourcing non-core support activities

• By focusing on production over service

• By eliminating specialization

Which of the following statements does NOT accurately describe services?

• Services involve the transfer of ownership

• Services are economic activities offered by one party to another

• Services employ time-based pertormances

• Services provide value in exchange for money, time and effort

Which of the following is NOT one of the four broad categories of services?

• People processing

• Possession processing

• Goods processing

• Information processing

Which characteristic of services makes it hard to evaluate service quality and distinguish from competitors?

• Intangibility

• Inseparability

• Variability

• Perishability

How can marketers address the challenge of services being difficult for customers to visualize and understand?

• Use pricing to smooth demand

• Emphasize physical clues in advertising

• Focus on recruiting and training employees

• Find ways to compete on speed of delivery

Which marketing mix element deals with decisions regarding when and where to deliver services?

• Product

• Price

• Place

• Promotion

What should marketers recognize about pricing from the customer's perspective?

• Pricing is the least important element

• Pricing is the key part of costs to obtain wanted benents

• Pricing should be as high as customers will pay

• Pricing should cover costs with maximum pront margins