Operations Management in the Service Industry

question 75

Multiple Choice

Operations management in the service industry:

• A)is declining.
• B)a much larger share of total output is being produced by nonprofit organizations.
• C)is all about creating a good experience for those who use the service.
• D)is tied to the export sector.

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Definitions:

Net Margin

A profitability metric calculated as net income divided by revenue, expressed as a percentage, indicating the percentage of revenue that translates into profit.

Full Selling Price

The total cost to the consumer to purchase a product or service, including any taxes, fees, or additional charges.

Return on Investment

A measure of the profitability of an investment, calculated as the net profit of the investment divided by its cost.

Net Profit

Represents the amount of money a company retains after subtracting all its expenses, taxes, and costs from its total revenue.