The Standards Gap Differs from the Delivery Gap in That

question 94

Multiple Choice

The standards gap differs from the delivery gap in that the delivery gap is the difference between:

• A)actual services provided to customers and services that a firm's promotion program promises.
• B)a firm's perceptions of customers' expectations and the service standards it sets.
• C)customers' expectations and a firm's perception of those expectations.
• D)a firm's service standards and the actual service it provides to customers.
• E)a firm's service standards and the service that the firm's promotion program promises.

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Definitions:

Efficiency Wages

Wages set above the equilibrium level by employers to increase worker productivity, discourage turnover, and reduce shirking.

Efficiency-Wage Theory

A theory suggesting employers pay above the market equilibrium wage to increase worker productivity.

Economic Theory

The study of how societies use scarce resources to produce valuable commodities and distribute them among different people.

Natural Rate

Refers to the level of unemployment when the labor market is in equilibrium, accounting for frictional and structural unemployment but not cyclical unemployment.