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Chapter 11

Multiple Choice

Multiple Choice


This activity contains 12 questions.

	All of the following are features of relationship marketing, except:   orientation to customer retention. focus on customer value. quality concerns all staff members. short-term horizon.

	Companies' representatives phoning the customers a short time after the booking to check with the customers and answer questions is an example of _____ level of relationships that can be formed between customers and companies.   basic accountable proactive partnership

	Airlines developing reservation systems for travel agents is an example of building customer relationships by adding ___________.   financial benefits social benefits structural ties human touch

	All of the following statements are true, except:   A company must define and measure its retention rate. A company must identify the causes of customer defection and determine which of these can be reduced or eliminated. A company cannot estimate how much profit it loses when customers defect unnecessarily. A company needs to figure out how much it would cost to reduce the defection rate.

	Which of the following statements is true?   Resolving customer complaints is a critical component of customer retention. Most dissatisfied customers complain. Most dissatisfied customers do give managers a chance to resolve their problems. Managers should not encourage customers to complain.

	All of the following statements are true, except:   product features and freedom from deficiencies are two types of quality. product features add to the cost of the product. product features relate to guest expectations. All of the above are true.

	___________ is a credence quality; it can't be evaluated by the consumers before purchase and it is often impossible to evaluate after purchase.   Technical quality Functional quality Societal quality Product quality

	All of the following statements are true, except:   Developing a good overbook policy minimizes the chance of walking a guest. Managing overbooking requires knowing the no-show rate of different types of reservations. Usually, it is better to fail to honor a reservation than to leave a room unoccupied. Overbooking is one method of managing demand.

	Which of the following is not an action managers take to adjust capacity?   extend service hours involve the customers in the service delivery system voluntary queuing schedule downtime during periods of low capacity

	Which of the following is not an action managers can use to manage demand?   use price to create or reduce demand create promotional events cross-training employees use reservation

	The difference between total customer value and total customer cost of a marketing offer is referred to as:   total customer value. total customer cost. customer-delivered value. total customer satisfaction.

	Which of the following is not a type of hospitality industry service guarantee?   unconditional guarantees specific guarantees conditional guarantees implicit guarantees

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