Why Is Inventory of Services Different from That of Products

question 123

Multiple Choice

Why is inventory of services different from that of products?

• A)Time is less important to customers of services than customers of products.
• B)Only service inventory can be reduced through more efficient movement of products.
• C)There are larger costs associated with the handling of service inventory.
• D)Unlike goods providers, the service provider is often unavailable when there is a demand for the service.
• E)Service inventory costs are related to idle production capacity rather than storage or handling.

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Definitions:

Milgram Experiment

A psychological experiment conducted by Stanley Milgram in the 1960s to study obedience to authority, where participants were instructed to administer electric shocks to another person.

Stanford University Prison Experiment

A psychological study conducted by Philip Zimbardo in 1971 at Stanford University, where students were assigned roles of prisoners and guards to explore the effects of perceived power.

Generalization

Drawing a conclusion about a certain characteristic of a population based on a sample from it.

Logical Support

The provision of reasons or evidence to justify a claim or argument.