Ch1

Question 1

Why Study Services?

Answer 1

Because Most new jobs are generated by
services
2– In most countries around the world, new
job creation comes mainly from services.

Question 2

• Changes in regulations
• Privatization
• New rules to protect consumers, employees, and the
  environment
• New agreements on trade in services

Answer 2

Government Policies

Question 3

Social Changes include

Answer 3

-Rising consumer expectations
* Ubiquitous social networks
* More affluence غنى
* More people short of time
* Increased desire for buying experiences versus things
* Rising consumer ownership of computers, smart phones, wearables, and other high-tech equipment
* Easy access to more information
* Immigration
* Aging population -كبار السن

Question 4

Business Trends include

Answer 4

• Push to increase shareholder value
• Emphasis on productivity and cost savings
• Manufacturers add value through service and sell services
• Firms increasingly focus on developing platform-type business models
• More strategic alliances and outsourcing
• Focus on quality and customer satisfaction
• Growth of franchising
• Marketing emphasis by non-profits
  التركيز التسويقي على المنظمات الغير ربحية

Question 5

Advances in Technology include

Answer 5

• Ubiquity of the Internet and mobile connectivity
• Robotics
• Artificial intelligence
• Analytics and big data
• User-generated content
• Internet of things (IoT)
• Mobile technologies * Cloud technology * Geotagging * Text processing * Speech processing * Image processing * Virtual reality

Question 6

Globalization Including

Answer 6

• Companies increasingly operate on a global level
• Increased international travel
• International mergers and alliances
• Offshoring of customer service
• Foreign competitors invade domestic markets

Question 7

refers to the contracting of services that
were previously conducted internally in an organization to an external service provider.

Answer 7

Outsourcing

Question 8

refers to services that are conducted in one country and consumed in another.

Answer 8

Offshoring

Question 9

• Car repair- car rental
• Medical check-up
• Management
  Is example of…

Answer 9

Benefits Without Ownership

Question 10

• Boats
• Fancy dress costumes
• Construction and excavation equipment
  Is example of

Answer 10

Rented goods services

Question 11

Other people are hired to perform work that customers either cannot or choose not to do themselves.

Answer 11

Benefits Without Ownership

Question 12

• A seat in an aircraft
• A suite in an office building
• A storage container in a warehouse
  Is example of …

Answer 12

space and facility rentals

Question 13

Customers rent the right to share the use of the facility. The facilities may be a combination of indoors, outdoors, and virtual.

Answer 13

Access to shared facilities

Question 14

Access to shared facilities examples…

Answer 14

• Theme parks
  
  • Golf clubs
    
    • Toll roads

Question 15

Customers rent the right to participate in a specified network. Service providers offer a variety of terms for access and use, depending on customer needs.

Answer 15

Access and use of networks and systems

Question 16

• Telecommunications
  * Utilities and banking
  * Social online networks and games
  Is example for …

Answer 16

Access and use of networks and systems

Question 17

………….are economic activities performed by one party to another. Often time-based, these performances bring about desired results to recipients, objects, or other assets .

Answer 17

Services

Question 18

What is IHIP

Answer 18

– Intangibility
–Heterogeneity (variability of quality)
–Inseparability of production and consumption
–Perishability

Question 19

The 7 ‘P’s of Services Marketing

Answer 19

Product
Price
Place
Promotion
Process
Physical environment
People

Question 19

The 7 ‘P’s of Services Marketing

Answer 19

Product
Price
Place
Promotion
Process
Physical environment
People

Question 20

consist of a core product that meets the customers’ primary need and a variety of supplementary service elements that are mutually reinforcing, and add value to help customers use the core product more effectively.

Answer 20

Service products

Question 21

consist of a core product that meets the customers’ primary need and a variety of supplementary service elements that are mutually reinforcing, and add value to help customers use the core product more effectively.

Answer 21

Service products

Question 22

include providing information, consultation, order-taking, hospitality, handling exceptions, etc.

Answer 22

Supplementary service elements

Question 23

……………..is highly dynamic, with price levels adjusted over time according to factors like customer segment, time and place of delivery, level of demand, and available capacity.

Answer 23

Pricing strategy

Question 24

………… are often difficult to visualize and
experienced by the other senses.
understand as intangible elements tend to dominate value creation.

Answer 24

Services

Question 25

As far as services are concerned, how a firm does things is as important as what it does.

Answer 25

Process

Question 26

As far as services are concerned, how a firm does things is as important as what it does.

Answer 26

Process

Question 27

Service processes differ from manufacturing in three ways:

Answer 27

– Operational Inputs and Outputs Can Vary Widely
– Customers Are Often Involved in Co-production
– Demand and Capacity Need to be Balanced

Question 28

Appearance of buildings, landscaping, vehicles, guides customers through the service process. interior furnishings, equipment, staff members’ uniforms, signs, printed materials, and other visible cues provide tangible evidence of a firm’s service quality.

Answer 28

Physical Environment

Question 29

Service firms need to work closely with their human resources (HR) departments and devote special care in selecting, training, and motivating their service employees.

Answer 29

People