How Well a Good or Service Meets or Exceeds Customers

question 125

Multiple Choice

How well a good or service meets or exceeds customers' expectations or the degree to which a product conforms to established tolerance standards is known as

• A) Quantity produced
• B) Quality
• C) Surpassing customer expectations
• D) Total quality management

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Definitions:

Customizing Orders

The process of making changes to standard product offerings to meet the specific needs or preferences of a customer.

Profit Margin

A financial metric that measures the percentage of profit a company produces from its total revenue.

Additional Labor

Employees or work hours added beyond the initial planning or standard staffing levels, often to meet increased production demands or to cover for unexpected labor shortages.

Variable Cost Concept

A cost that varies with the level of output or activity, in contrast to fixed costs, which remain constant regardless of activity.