Service Organizations Must Manage the Availability of the Offering, in Part

question 95

Multiple Choice

Service organizations must manage the availability of the offering, in part so that

• A) marginal costs exceeds marginal revenues.
• B) service encounters can identify planning gaps.
• C) demand matches capacity over the duration of the demand cycle.
• D) the price elasticity of demand is unitary.
• E) the service experience is consistent with the sharing economy standards of the organization's industry.

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Definitions:

Valve Division

A specialized unit within a company focused on the production and distribution of valves.

Variable Expenses

Costs that change in proportion to the level of goods or services a business produces.

Transfer Price

The amount at which commodities and services are dealt among subdivisions within the same business entity.

Valve Division

A dedicated segment of a company focusing on the production or distribution of valves.