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Services Marketing People, Technology, Strategy 8th Edition Christopher H Lovelock, Jochen Wirtz - Solutions
1.. How can we charge different prices to different segments without customers feeling cheated? How can we even charge the same customer different prices at different times, contexts, and/or occasions, and at the same time, be seen as fair?
1.. Why are ethical concerns important issues when designing service pricing and revenue management strategies? What are potential consumer responses to service pricing or policies that are perceived as unfair?
1.. Explain the difference between physical and non-physical rate fences using suitable examples.
1.. What is revenue management, how does it work, and what type of service operations benefit most from good revenue management systems and why?
1.. Why can’t we compare competitor prices dollar-for-dollar in a service context?
1.. What is the role of nonmonetary costs in a business model, and how do they relate to the consumer’s value perceptions?
1.. How can a service firm compute its unit costs for pricing purposes? How does predicted and actual capacity utilization affect unit costs and profitability?
1.. How can the pricing tripod approach to service pricing be useful to come to a good pricing point for a particular service?
1.. Why is the pricing of services more difficult as compared to the pricing of goods?
1.. Which market entry strategy into a new international market should (1) an architectural design firm, (2) an online discount broker, and (3) a satellite TV channel consider and why?
1.. Explain what is meant by core product and supplementary services.
1.. Choose an industry you are familiar with (such as cell phone service, credit cards, or online music stores), and create a perceptual map showing the competitive positions of different service providers in that industry. Use attributes you believe are determinant attributes. Identify gaps in
1.. Imagine you have been hired as a consultant to give advice to The Palace Hotel.Consider the options for the hotel based on the four attributes in the positioning charts (Figures 3. 14 and 3.15). What actions do you recommend The Palace take?Explain your recommendations.
4. Considering the experience gained from all their current parks as well as the external forces including increasing competition, market regulations, diversity of potential new markets, and technology integration, what criteria should KidZania’s management follow in selecting specific activities
3. What do you think are the main challenges and implications being faced regarding the changes in the service concept of KidZania, centered on experiential learning?
2. What are the risks in this business? How does KidZania’s management ameliorate them?
1. Using service management best practices are criteria, which of the things KidZania is doing impressed you the most/the least, and why?
3. What next steps do you think LUX* should take to cement its strong service culture, continue service innovation, and maintain its high profitability?
2. What key challenges do you see in what LUX* did in carrying out its transformation? How were they addressed and what else could have been done?
1. What were the main factors that contributed to LUX* Resort’s successful service revolution?
5. Should Starbucks make the $40 million investment in labor in the stores? What’s the goal of this investment? Is it possible for a mega-brand to deliver customer intimacy?
4. Describe the ideal Starbucks customer from a profitability standpoint. What would it take to ensure that this customer is highly satisfied? How valuable to Starbucks is a highly satisfied customer?
3. How has Starbucks changed since its early days?
2. Why have Starbucks’ customer satisfaction scores declined? Has the company’s service declined or is it simply measuring satisfaction the wrong way?
1. What factors accounted for Starbucks’ success in the early 1990s and what was so compelling about its value proposition? What brand image did Starbucks develop during this period?
5. How could negative server attitudes towards RD customers be handled?
4. Review the rules set for the RD program. How would you go about setting rules for the program that protected the hotel against abuse, but does not make RD members feel that the program is unnecessarily restrictive and difficult to use?
3. What effect does the RD membership program have on the brand and value perception of its local customers in Hong Kong and its full-paying hotel guests and diners? How could the hotel address these issues?
2. As Erica Liu, what analyses would you run to assess the financial performance of the RD membership program?
1. In Erica Liu’s shoes, what would you present to the executive committee?
4. What would be a good outcome of the meeting for both the client and the bank?How should Costa try to bring about such an outcome?
3. As Sophia Costa, what action would you take in your first five minutes with Dr.Mahalee?
2. Putting yourself in Dr. Mahalee’s shoes, how do you feel (both physically and mentally) after speaking with the receptionist at Global? What are your priorities right now?
1. Prepare a flowchart of Dr. Mahalee’s service encounters.
4. What degree of alignment is there between the company values and the areas assessed?
5. How do you train assessors and what level of on-going training occurs to ensure rater consistency?
3. How frequently do the assessments occur?
2. Describe the performance management tool/process that you use to monitor your cabin crew.
1. How is the cabin crew area structured and how does this influence the PM system?
7. View https://www.youtube.com/watch?v=mIkNzhM2b70 (Across the World with the Singapore Girl) and http://youtu.be/P5sGKR6NJBw (Singapore Airlines SQ Girl), and discuss how these videos might be perceived by SIA cabin crew.
6. How do people feel if they are working in a culture that focuses so intensely on customers, but cuts costs to the bone internally?
5. Some of SIA’s HR practices would be frowned upon in the US and Europe (e.g., having cabin crew on time-based contracts that are renewable every five years).Is this fair competition (i.e., desired competition between regulatory frameworks, as was favored by Margaret Thatcher, former prime
4. Why do you think are US full-service airlines largely undifferentiated lowquality providers? What are the reasons that none of the full-service airlines positioned itself and delivers as a high service quality provider?
3. Despite evidence that such practices help service firms achieve higher company performance, many organizations have not managed to execute them as effectively. Why do you think that is the case?
2. Evaluate the effectiveness of each element’s contribution towards SIA’s leadership in service excellence and cost-effectiveness.
1. Describe what is so special about SIA’s five elements of its successful HR practices?
4. How would you redesign compensation and performance appraisal systems at R&R? Is the sales-per-hour system an effective measure of customer satisfaction? Are R&R’s HR policies and practices fully aligned with its business strategy?
3. How effective is the memo in Exhibit 4 in clarifying the distinction between“sell” and “non-sell” time?
2. Are R&R employees pressured inappropriately by the sales-per-hour system or by management?
1. What is the cause of the problems described in this case? How serious are these problems? How would you quantify the potential financial risk to R&R?
4. What decision would you make and why?
3. Review the evidence. Do you believe the testimony presented?
2. Evaluate the concept of peer review. What are its strengths and weaknesses?What type of environment is required to make it work well?
1. What are the marketing implications of this situation?
6. If you were Jack McKinnon, what would you continue to do, and what should you stop doing?
5. Why do you think system performance in terms of waiting time changed as it did? Why did customer behavior changed as it did?
4. What is the labor cost per call taken by Associates and by Senior Associates?What is the cost per resolved call by Associates and by Senior Associates?
3. What would be the effect on capacity utilization of improving the productivity of the latest productive two Associate and two Senior Associates to the current Rapid ID average?
2. What is the capacity utilization of the Remote Support Unit, and how is this affecting waiting times?
1. Draw the process flow diagrams for the unit before Rapid ID and after. What changed?
3. As Dr. Shouldice, what actions, if any, would you like to take to expand the hospital’s capacity and how would you implement such changes?
2. Define the service model for Shouldice. How does each of its elements contribute to the hospital’s success?
1. What is the market for this service? How successful is Shouldice Hospital?
4. In planning for future expansion, how should Christine Taylor evaluate the market potential of Australia versus that of overseas? What strategies do you recommend and why?
3. From a franchisee’s perspective, what is the advantage offered by belonging to the APM franchise rather than going it alone?
2. Compare and contrast the tasks involved in recruiting new customers and recruiting new franchisees.
1. How did Christine Taylor succeed in evolving the local dog washing service she developed as a teenager into an international franchise business?
4. What action should Cherita Howard take and why?
3. What are the key considerations facing the hotel as it reviews the booking requests from the West Indies Cricket Board1?
2. Identify the various market segments currently served by the hotel. What are the pros and cons of seeking to serve customers from several segments?
1. What factors lead to variations in demand for rooms at a hotel such as the Accra Beach?
3. Brainstorm as to how other service companies might get customers to pay a more active role (rather than passive) in the service experience.
2. What role does culture and leadership play in the success of Kiwi Experience?
1. How does Kiwi Experience maintain a continual customer focus?
5. What potential problems do you foresee bringing Banyan Tree to the Americas, Europe, and the Middle East? How could Banyan Tree address those issues?
4. What effect does the practice of corporate social responsibility have on brand equity?
3. Discuss whether the brand portfolio of Banyan Tree, Angsana, and Cassia, as well as the product portfolio of beach resorts, services residences, city hotels, spas, galleries, and museum shops fit as a family. What are your recommendations to Banyan Tree for managing these brands and products in
2. Evaluate Banyan Tree’s brand positioning and communications strategies. Can Banyan Tree maintain its unique positioning in an increasingly overcrowded resorts market?
1. What are the main factors that contributed to Banyan Tree’s success?
2. How could Uber effectively compete with Didi? Should it compete head-on in China, or should it side-step competition by focusing on niche markets through service innovation, and geographic expansion within China?
1. How could Uber retain its dominant position in the US market? Are there services and/or geographic niche markets where Uber should accommodate Lyft?
4. What actions should Bouleau & Huntley take now?
LO 1 2. Evaluate the visit to National Metals Corporation. What happened?3. What are the lessons of this experience?
1. What do you see as the key differences between pension fund auditing and management consulting? How good is the fit between the two?
6. Evaluate Dr. Beckett’s website (http://www.mychicodentist.com). What strengths do you think the website has? What improvements would you suggest?
5. Contrast your own dental care experiences with those offered by Dr. Beckett’s practice. What differences do you see? Based on your review of this case, what advice would you give to (a) your current or former dentist, and (b) Dr. Beckett?
4. What supplementary services are offered? How do they enhance service delivery?
3. How do Dr. Beckett and her staff educate patients about the service they are receiving? What else could they do?
2. Why do people dislike going to the dentist? Do you feel Dr. Beckett has addressed this problem effectively?
1. Which of the seven elements of the services marketing mix are addressed in this case? Give examples of each “P” you identify.
4. What advice would you give to Carol Sullivan-Diaz?
3. From a consumer’s perspective, what useful parallels do you see between operating a car sales and service dealership, and operating health services?
2. Compare the sales and service departments at Auto World.
1. How does marketing cars differ from marketing service for those same vehicles?
Understand what is required for moving a service firm from service loser to service leader.
Know the characteristics of world-class service organizations and be familiar with the four levels of service performance.
Explain how TQM, ISO 9000, Six Sigma, and the Malcolm-Baldrige and EFQM approaches relate to managing and improving service quality and productivity.
Understand how to integrate all the tools to improve the quality and productivity of customer service processes.
Know how productivity improvements impact quality and value.
Recommend the key methods to improve service productivity.
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