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Andrea has just opened a new service business called Paws n' Claws, which provides dog grooming and doggie day care. Andrea has done research about the role dogs play in today's culture, particularly for those people who do not have children. She knows that some of these people represent a target that is urban, professional, and who travel frequently. Andrea's business is likely to have a _____ and she will probably refer to the dog owners as ___.


A) high level of tangibility; customers
B) high level of inseparability; customers
C) high level of customer contact; clients
D) low level of perishability; customers
E) low level of intangibility; clients

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____ is the value of the benefit that is given up by selecting one alternative rather than another.


A) Benefit loss
B) Opportunity cost
C) Privileged cost
D) Selection cost
E) Exchange loss

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Demand-based pricing most closely relates to the ____ of services.


A) perishability
B) intangibility
C) heterogeneity
D) customer contact aspect
E) inseparability

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Prudential Insurance uses "the rock" symbol to communicate stability and security to customers. This is Prudential's attempt to help customers better understand its services by


A) emphasizing tangible cues in promoting the service.
B) using word association.
C) personalizing the selling of the service.
D) utilizing publicity techniques to enhance the service.
E) distributing the service directly through television.

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The nonprofit organization does not need to develop a strategy for each of the marketing mix variables of product price, distribution, and promotion.

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List and explain the six distinguishing characteristics of service products. Then discuss some of the marketing issues and problems associated with each characteristic.

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Services have six basic characteristic...

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Which of the following services falls closest to the middle of the tangibility continuum?


A) College education
B) Dinner at the Olive Garden
C) A new Ford Escape
D) A custom built yacht
E) A trip to Brazil

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In most service industries, customer-contact employees are


A) valued as the most important employees in the organization.
B) the best trained employees in the organization.
C) the lowest-paid and least-trained employees.
D) well-trained but have high turnover rates.
E) moderately paid personnel with high rates of turnover.

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Select the true statement about nonprofit marketing.


A) The chief beneficiaries of a nonprofit organization are the owners or stockholders.
B) The planning of market strategies requires less refinement and coordination of goals in the nonprofit field than in the for-profit field.
C) Major nonprofit marketers in the United States are social causes and charitable organizations.
D) Marketing goals in nonprofit activities cannot be determined.
E) All nonprofit organizations that have adopted the marketing concept have been successful.

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The heterogeneity characteristic of services provides marketers with tremendous opportunity to


A) customize their services to meet unique individual needs.
B) hold down the cost of providing services to customers.
C) create standardized packages that will appeal to many customers.
D) offer the same service as all of their competitors.
E) develop relationship marketing with their customers.

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How does the marketing mix (product, price, distribution, and promotion) differ in nonprofit marketing?

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In developing the product, nonprofit org...

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You run a services business and you are constantly looking for ways to project an image of quality to your current and potential customers. You recognize there are very few tangible elements customers can view before making a services purchase. If you want to improve these elements of your business, then you should focus on improving _________________.​


A) the search qualities of your services
B) the experience qualities of your services
C) the credence qualities of your services
D) your facilities and your employees
E) your prices and promotional activities

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Which of the following is the best example of a high-contact service?


A) Appliance repair
B) Newspaper delivery
C) Dog training
D) Interior decorating
E) Plastic surgery

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Marketing approaches used by organizations in the for-profit sector are equally applicable to individuals and organizations in the nonprofit sector.

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Dentists find it difficult to attract customers because many customers cannot distinguish whether or not the product offered is beneficial. This aspect of the dentist's product is called ____ quality.


A) search
B) experience
C) credence
D) tangible
E) separable

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Services ____________ factors for the customer to evaluate as compared to goods.​


A) have the same number of
B) have more
C) have fewer
D) more physical
E) fewer intangible

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Which of the following best defines nonprofit marketing?


A) Activities conducted by individuals and organizations to achieve some goal other than ordinary business goals such as profit or return on investment
B) Marketing activities conducted by organizations other than business organizations
C) Nonbusiness activities aimed at goals such as profit or return on investment
D) Marketing activities aimed at getting the product to the retailers, through intermediaries
E) The marketing activities conducted by individuals and organizations that are considered volunteer establishments

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Compared to goods marketers, services providers are more likely to promote performance documentation, availability, guarantees, and


A) distribution.
B) tangible elements.
C) management expectations.
D) price.
E) customer expectations.

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Consumers tend to believe company-sponsored advertising more than word-of-mouth communication when gathering information on a service product.

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Marketing attempts only to provide a body of knowledge and concepts to help further an organization's goals.

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