In Recent Years, the "Fax Attack" Model of Car Shopping

question 54

Multiple Choice

In recent years, the "fax attack" model of car shopping has become popular. In a "fax attack," a customer sends a fax to every car dealership within a certain radius listing the make and features of the car they would like, along with the price they are willing to pay, and asks dealerships that will match that price to contact the customer. In essence, the customers set both the features and the price for the car. McCall Automotive has experienced a sharp increase in the number of fax attacks, and Phil, the sales manager, is seeking methods for addressing the situation. Phil is also concerned about the dealership's positioning strategies and market share.
-How could Phil BEST respond to a"fax attack"and differentiate McCall Automotive positively from other dealerships?

• A)Phil could respond to the fax with brief answers to all of the customer's questions.
• B)Phil could develop value-added solutions for the customer by building a relationship.
• C)Phil could refer the customer to other dealerships that typically have lower car prices.
• D)Phil could steer the customer to more expensive cars that have better safety records.
• E)Phil could refuse to match the fax attack price because quality cars demand high prices.

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Definitions:

Time-Driven

Pertaining to operations or processes that are initiated, executed, or measured based on time.

Activity-Based Costing

A method in accounting that assigns costs to products or services based on the activities and resources that go into producing them, aiming for more accurate costing.

Resolving Queries

The process of addressing and answering questions or concerns, commonly within a customer service or information technology context.

Time-Driven

This term generally refers to activities or processes that are measured and managed based on the time they take, often in the context of cost accounting or service delivery.