Supplementing a Service Performance to Increase Customer Satisfaction Typically

question 15

Multiple Choice

Supplementing a service performance to increase customer satisfaction typically

• A)involves increasing its divergence.
• B)involves increasing its complexity.
• C)requires little knowledge of a customer's preferences.
• D)does little to help a small service provider to compete effectively with large service providers.
• E)has little effect on the efficiency or effectiveness of the frontstage activities of a service performance.

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Definitions:

Competition-Based Method

Pricing strategy where the price of goods or services is determined by considering the prices of competitors’ products.

Total Cost Method

An accounting method that involves recording all production costs to inventory until the goods are sold, at which point they are expensed.

Markup

The amount added to the cost of a product to determine its selling price, usually expressed as a percentage of the cost.

Differential Analysis

The process of comparing the costs and benefits of alternative business decisions.