Topic 6: Service Strategy

Question 1

What are the differences between products and services?

Answer 1

intangibility
inseparability
variability
perishability

Question 2

What are the other unique features of financial services?

Answer 2

fiduciary responsibility
control by government
risk

Question 3

What are the decisions made in the service strategy?

Answer 3

features
development and withdrawal
appropriate mix
allocation of resources

Question 4

What are the stages of the service life cycle?

Answer 4

introduction
growth
maturity
decline

Question 5

What are the types of product modification?

Answer 5

quality

feature

Question 6

What are the internal sources of new product ideas?

Answer 6

research and development department
marketing department
employee suggestions

Question 7

What are the external sources of new product ideas?

Answer 7

customers
competitors
legislation
technology

Question 8

What are the issues that have to be considered in new service development

Answer 8

cashflow and resources
effects on existing services
effects on existing customers