Service Channels Tend to Be Shorter in Length Than Consumer

question 65

Multiple Choice

Service channels tend to be shorter in length than consumer markets because of _______.

• A)intangibility
• B)perishability
• C)inseparability
• D)all of the above

---

Definitions:

Break-even

The point at which total revenues equal total costs, resulting in no net profit or loss for the business.

Divisional Segment Margin

The amount of profit or loss generated by a specific division or segment of a company, often used to assess the segment's financial performance.

Common Fixed Expenses

Expenses that do not change in total amount with changes in the volume of production or sales, such as rent, salaries, and insurance.

Net Operating Income

The total profit of a company after operating expenses are subtracted from total revenue, but before deducting interest and taxes.