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This set of Service Marketing Multiple Choice Questions & Answers (MCQs) focuses on Service Marketing Set 9

Q1 | Service firms often find themselves in a three-cornered fight between
  • Engineering, production, and accounting
  • Marketing, finance, and human resources
  • Operations, accounting, and marketing
  • Human resources, marketing and operations
Q2 | Customer frustration resulting from receiving poor service is most similar to
  • Image costs.
  • Monetary price
  • Energy costs.
  • Psychic costs.
Q3 | Among many services, the demand for medical services tends to be __________.
  • Inelastic.
  • Elastic.
  • Substitute demand
  • Price cross elastic demand
Q4 | Customer competencies can be described as
  • Consumer expectations pertaining to the service delivery process and the final outcome
  • Customer perceptions regarding the quality of the outcome
  • Customer abilities that enable them to properly evaluate the servicescape.
  • The ability to interact effectively with other
Q5 | Costs that are planned and are accrued during the operating period regardless of thelevel of production and sales are called
  • Direct variable costs
  • Fixed costs.
  • Average costs
  • Marginal costs.
Q6 | The technique that allows consumers to either buy Service A and Service B togetheron purchase one service separately is called
  • Long-term bundling
  • Mixed bundling
  • Price bundling.
  • Product bundling
Q7 | Which pricing strategies encourage the customer to expand his/her dealings with theservice provider?
  • Relationship pricing
  • Price bundling.
  • Benefit-driven pricing.
  • Efficiency pricing.
Q8 | Do studies suggest that price is more likely to be used as a cue to quality under thefollowing conditions?
  • When alternatives are of bad products
  • When the company new to the market
  • When a price is the primary differential information available
  • When a customer does not have knowledge
Q9 | The primary role of a service firm for the customer in the communication mix is to ……
  • Confuse customers.
  • Inform and remind customers
  • Oppose the competitor s claim
  • Persuade the dealers.
Q10 | The plan for differentiating the firm from its competitors in consumers eyes is referredto as the firms
  • Communication mix
  • Positioning strategy.
  • Publicity.
  • Target marketing
Q11 | Differentiation approaches such as competence, courtesy, reliability, andresponsiveness are forms of
  • Product differentiation
  • Personnel differentiation
  • Image differentiation
  • Service differentiation.
Q12 | The appropriate communication content during the introduction stage of the productlife cycle would be
  • Informational.
  • Informational and persuasive
  • Persuasive.
  • Persuasive and reminder.
Q13 | Which of the following is not a communication objective during the maturity anddecline stages of the product life cycle?
  • Encourage repeat purchases
  • Provide ongoing contact with customers
  • Prepare the way for personal selling efforts
  • Express gratitude to the existing customer base.
Q14 | Which one of the following communication approaches would be appropriate duringthe growth and maturity stages of the product life cycle?
  • Informational.
  • Informational and persuasive
  • Persuasive.
  • Persuasive and reminder
Q15 | The primary objective of a firms communication mix during the pre-consumptionchoice stage is to
  • sell the product
  • Minimize the perceived risk associated with the purchase
  • Encourage repeat purchases
  • Persuasively convince customers why the firms brand is superior to the competitors
Q16 | The perceived consequences of a consumer s purchase decision are
  • Financial, social and performance
  • Social, ethical and performance.
  • Performance, social and ethical.
  • Ethical, social and psychological
Q17 | Tangible clues are more important when services are
  • Highly perishable.
  • Tangible dominant.
  • Intangible dominant
  • Heterogeneous
Q18 | Which of the following communication objectives becomes the most important duringthe post-consumption evaluation stage
  • Informing customers
  • Managing customer expectations.
  • Reducing consumer perceived risk
  • Persuading customers
Q19 | Branding of services becomes difficult because they are
  • Intangible.
  • Heterogeneous.
  • Perishable.
  • Inseparable.
Q20 | Word-of-Mouth communication networks are particularly important for service firms because
  • Service customers tend to rely more on personal than the non-personal source of information
  • Service firms only offer one brand of service.
  • Service firms can seldom afford to pay for promotional efforts.
  • Service customers tend to rely more on non-personal than personal sources of information
Q21 | The suggested communication strategy to use when the product is intangible dominant is to
  • Create an intangible image for the product.
  • Create awareness for the product
  • Surround the product with tangible evidence.
  • Make sure the product is in the evoked set of
Q22 | __________ is an overall favourable impression or unfavourable impression basedon the early stages of the service encounter.
  • Cognitive dissonance.
  • Environmental stimulus
  • Visual pathway.
  • Halo effect.
Q23 | The advantage that the E-marketing communications carries are…………
  • Reaching a widely dispersed audience.
  • Being cost-effective.
  • Being personalized.
  • More customer satisfaction.
Q24 | A disadvantage of e-marketing is
  • High cost.
  • Low reach.
  • Loss of personal contact
  • Less satisfaction.
Q25 | Which of the following is not a component of service firms physical evidence?
  • Parking.
  • Employee appearance
  • Billing statements.
  • In-house process equipment