chapter 7

Question 1

relationship marketing

Answer 1

the process of building and maintaining strong customer relationships which can produce relationship equity.

Question 2

CRM

Answer 2

The managerially relevant, organization- wide, customer- focused application of relationship marketing, using IT to achieve performance objectives.

Question 3

relationship equity

Answer 3

The aggregation of relational assets and liabilities, associated with the firm’s boundary- spanning employees
and social networks linked to the offering or experience.

Question 4

social exchange theory

Answer 4

has established that commitment and trust are central to strong business relationships

Question 5

commitment

Answer 5

An enduring desire to maintain a valued relationship.

Question 6

trust

Answer 6

Confidence in a relationship partner’s reliability and integrity.

Question 7

relationship quality

Answer 7

Diverse interaction characteristics. such as commitment, trust, gratitude, reciprocity norms, and exchange efficiency.

Question 8

relationship breadth

Answer 8

A measure of the number of relational bonds with an exchange partner.

Question 9

relationship composition

Answer 9

A diverse, authoritative contact portfolio that increases a seller’s ability to make decisions and effect change in its customers’ organizations.

Question 10

cooperative behaviors

Answer 10

Coordinated, complementary actions between partners to achieve a mutual goal.

Question 11

relational loyalty

Answer 11

Customers provide benefits due to their relational attitudes and ties with the seller or seller’s employees.

Question 12

WOM

Answer 12

Communication by a customer about a seller to others, which can be positive or negative.

Question 13

empathetic behaviors

Answer 13

The impact on a customer or relational partner’s behavior based on their sensitivity to the seller’s situation.

Question 14

conflict

Answer 14

A serious disagreement or ongoing argument among relational partners.

Question 15

seller expertise

Answer 15

A seller who can be relied upon to provide knowledgeable and credible information.

Question 16

communication

Answer 16

The amount, frequency, and quality of information shared by exchange partners.

Question 17

relationship investments

Answer 17

The time, resource, and effort investments, such as preferential treatment, gifts, or loyalty program

Question 18

similarity

Answer 18

The parties share common cultures, values, and goals.

Question 19

dependence

Answer 19

Customers work to maintain relationships with sellers on which they depend.

Question 20

relationship duration

Answer 20

The length of the relationship between exchange partners.

Question 21

interaction frequency

Answer 21

The number of interactions per unit of time between exchange partners.

Question 22

bystanders

Answer 22

The customers not targeted by a firm’s marketing or loyalty program.

Question 23

relationship orientation

Answer 23

Desire to engage in a strong relationship.

Question 24

relationship proneness

Answer 24

A basic, individual tendency to engage in relationships. This stable, individual difference variable implies that a customer experiences a stronger relationship orientation toward sellers.

Question 25

exchange and product uncertainty

Answer 25

Volatility, monitoring difficulty, and the speed of technological changes. Greater uncertainty increases the need for adaptability, especially for exchange partners with strong relationships.

Question 26

product category involvement/ dependence

Answer 26

The importance of and customer need for a particular product category, due to personal-, firm-, or role-related needs, values, and interests, which increase an entity’s relationship orientation.

Question 27

free will

Answer 27

The freedom or power to act without constraints or regulations.

Question 28

motives

Answer 28

The desire or need that incites action.

Question 29

risk

Answer 29

the possibility that the investment fails to prompt reciprocated behavior.

Question 30

need

Answer 30

A condition in which a person requires or desires something.

Question 31

exploratory or early stage

Answer 31

A stage most relationships begin with, featuring limited confidence in the partner’s ability and trustworthiness.

Question 32

growth or developing stage

Answer 32

A stage where the escalation of reciprocated transactions and increased affective attachment produce trust, commitment, and satisfaction.

Question 33

maturity or maintaining stage

Answer 33

A stage where the partners’ calculative trust gets replaced by knowledge- andaffective-basedtrust, communication, and other relational norms that reinforce their common goals.

Question 34

decline or recovery stage

Answer 34

A stage in response to specific events (e.g., conflict, unfairness, betrayal) or passive neglect (e.g., failure to communicate, ending investments).

Question 35

Social RM programs

Answer 35

Firm provided investments that help build relational bonds (e.g., reciprocity ties, trust) between the customer and seller such as meals, special treatment, entertainment and personalized information.

Question 36

structural RM programs

Answer 36

Firm- provided investments that customers might not make themselves, such as in electronic order processing interfaces or customized packaging.

Question 37

Financial RM programs

Answer 37

Firm- provided investments that provide economic benefits, in the form
of special discounts, giveaways, free shipping, or extended payment terms.

Question 38

multivariate regression

Answer 38

is a statistical approach used to quantify the sign and magnitude of the relationship between a focal dependent variable (e.g., marketing outcome) and several independent variables (e.g., marketing efforts).