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1.) Just Diamonds is a jewelry store that sells only diamonds and a few associated gold products. The workers are trained to match the customer with the perfect product and to perform customizations as necessary. The store would have a _________ process structure.

high complexity; high divergence

low complexity; low divergence

low complexity; high divergence

high complexity; low divergence

2.) All of the following are insights provided in Schmenner’s article EXCEPT ________.

Hiring service employees based on attitude can reduce mistakes, thus improving throughput

If the throughput time of a process is long, hunt for the places where throughput time accumulates and remove the waste

Evenness can be disrupted by the irregular receipt of orders

Productivity can be sustained by moving toward low variation and low relative throughput time

3.) At a restaurant, the food that you receive would be considered a(n) ________ in service package terminology.

facilitating good

implicit service

explicit service

supporting facility

4.) When formulating a Strategic Service Vision, which of the following is NOT a consideration in the Operating Strategy phase?

How will quality be controlled

Loyalty of servers

Costs relative to competitors

Employee perception of service elements

5.) Over the next several years, more job growth in the U.S. economy is expected to come from manufacturing than from services.

True

False

6.) When NutriLife Foods pursues a strategy in which its meal delivery menu includes such items as gluten-free cookies and eggless cakes, which are designed to appeal only to individuals who are allergic to common food ingredients, it is pursuing a __________ strategy.

limited

cost leadership

differentiation

focus

7.) When buying a computer, some consumers make a list of computers that meet minimum standards in terms of quality, flexibility, and delivery time, and they purchase the one on the list with the lowest price. In this example, flexibility would be considered an order qualifier.

True

False

8.) In a service blueprint, contact between a customer and an employee is represented by a(n) ___________.

arrow

square

Line of visibility

dotted line

9.) Which of the following would have been considered a radical innovation at the time of its introduction?

A fast food restaurant introducing a cheeseburger on a pretzel bun

A regional ban that introduces internet banking

Facebook adding a feature that allows users to edit photos before publishing

A chain of banks updating to a more modern, sophisticated decor in its physical locations

10.) At a restaurant, the food that you receive would be considered a(n) ________ in service package terminology.

facilitating good

implicit service

explicit service

supporting facility

11.) Over the next several years, more job growth in the U.S. economy is expected to come from manufacturing than from services.

True

False

12.) When buying a computer, some consumers make a list of computers that meet minimum standards in terms of quality, flexibility, and delivery time, and they purchase the one on the list with the lowest price. In this example, flexibility would be considered an order qualifier.

True

False

13.) Goods and service features that differentiate one customer benefit package from another are called

a. Order Qualifiers

b. Order Satisfiers

c. Order Exciters

d. Order Winners

14.) A consumer products company is considering introducing a new product nationally. To help make the decision, it first conducts a test market by selling the product for a few months in one city. This is an example of:

descriptive statistics.

charts and graphs.

hypothesis testing.

estimation.

15.) Based on a survey of 400 students in a university in which 20 percent indicated that they were business majors. The university student newspaper reported that “20 percent of all the students at the university are business majors.” This report is an example of:

a population.

statistical inference.

descriptive statistics.

a sample.

16.) Which of the following types of questions provide the respondent with the greatest choice in responding to a question?

Open-end questions

Close-end questions

True/false questions

Multiple choice questions

17.) Some stores and restaurants have “tell us what you think” cards available for customers. Assuming that angry customers are more likely to take the time to fill these out, this is an example of:

nonstatistical sampling.

cluster sampling.

simple random sampling.

stratified sampling.

18.) When an accounting auditor randomly selects 20 accounts from all the accounts to check for accuracy, she has selected:

a census.

a personal observation.

a sample from the population.

a convenience sample.

19.) When a survey uses the responses strongly disagree, disagree, neutral, agree, strongly agree, this is an example of:

ratio data.

interval data.

nominal data.

ordinal data.

time-series data.

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