Compaq Computer's Decision to Charge Customers for Phone Technical Support

question 155

Multiple Choice

Compaq Computer's decision to charge customers for phone technical support to cut the high cost of phone support and to encourage customers to read documentation was a failure because consumers like the human touch. As a result, Compaq decided to focus its resources on reaching the inexpensive home computer market segment through enhanced customer service. What did Compaq engage in?

• A)strategic planning
• B)tactical resource realignment
• C)alternative selection
• D)product enhancement evaluation

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Definitions:

Price Per Barrel

The cost of a barrel of commodities such as oil or other fluids, typically used in measuring large-scale transactions in the energy sector.

Minitab Output

The resultant data and graphs produced by Minitab, a statistical analysis software, after performing specified analyses.

Coefficient of Determination

A statistical measure, often denoted R², that represents the proportion of variance in the dependent variable predictable from the independent variable(s).

Coefficient of Correlation

A measure that indicates the extent to which two variables change together. If the value is close to 1 or -1, it indicates a strong relationship between the variables.