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How do customers evaluate services differently from manufacturing, and what implications do these have for operations?

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Customers seek and rely more on informat...

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Which of the following does NOT describe how customers evaluate services in a manner that differs from the way they evaluate goods?


A) Customers rely more on information from nonpersonal sources when evaluating services prior to purchase.
B) Customers perceive greater risks when buying services than when buying goods.
C) Customers can form prior expectations of expected service quality.
D) Dissatisfaction often results from a customer's inability to properly perform or co-produce his or her part of a service.

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Southwest Airlines has gained a competitive advantage by focusing on innovation as a key competitive priority.

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Families of goods or services having similar characteristics or methods of creation are called _____.


A) core competencies
B) corporate strategies
C) strategic business units
D) customer benefit packages

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A flexibility strategy requires a capacity for both design and demand flexibility.

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The customer benefit package that a firm designs is meant to appeal to all customers.

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The style and fit of a jacket can be classified as a(n) _____.


A) search attribute
B) experience attribute
C) credence attribute
D) variant attribute

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Which of the following is NOT generally considered a competitive priority?


A) Sustainability
B) Flexibility
C) Innovation
D) Quality

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Of the three types of attributes customers use to evaluate goods and services, goods are high in search attributes, while services are high in experience and credence attributes.

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_____ are those that a customer can determine prior to purchasing goods or services.


A) Search attributes
B) Experience attributes
C) Credence attributes
D) Variant attributes

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Which of the following would NOT constitute an element of operations infrastructure?


A) Market segmentation
B) Workforce
C) Quality control
D) Learning and innovation systems

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Explain how sustainability is related to operations strategy.

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Sustainability is defined using three di...

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Improving design quality usually allows a firm to charge higher prices and thus increase revenue and profit.

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To correctly identify what customers expect requires being "close to the customer." Discuss.

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To correctly identify what customers exp...

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Professor Terry Hill's operations strategy framework provides a systems perspective of how operations are linked to corporate and marketing strategies.

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McDonald's defines four sustainability initiatives. Which of the following is NOT an example of one of its four sustainability initiatives?


A) Environmental scorecard
B) Service-encounter design
C) Supplier audits for animal welfare
D) Packaging from renewable materials

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Using the four key decision loops in Professor Terry Hill's generic strategy framework, which of the following statements is TRUE of the first loop?


A)
It ties together an organization's corporate strategy and marketing strategy.
B) It describes how operations evaluate the implications of competitive priorities in terms of process choice.
C) It determines if process choice decisions are consistent with infrastructure decisions.
D) It represents operations' input into the corporate and marketing strategy.

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With regard to ways customers evaluate services compared to goods, which of the following is NOT true?


A) For services, customers seek and rely more on personal sources of information.
B) Customers normally adopt innovations in services faster.
C) Customers perceive greater results when buying services.
D) Dissatisfaction with services is often the result of a customer's inability to properly perform or co-produce their part of the service.

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_____ is a pattern that integrates an organization's major goals, policies, and action sequences into a cohesive whole.


A) Strategy
B) Core competency
C) Sustainability
D) Vision statement

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Formal marketing research, such as surveys and focus groups, is the only useful approach to learn about customer needs and expectations.

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