Services Marketing — Summer 2025

Multiple Choice Questions ( All Compulsory ) (1) Which risk is most associated with services compared to goods? A. Functional risk B. Financial risk C. Social risk D. Psychological risk (2) Which of the following is a part of “Process” in the 7Ps? A. Marketing research B. Complaint handling C. Production cost D. Product design (3) The SERVQUAL model measures: A. Service process B. Customer satisfaction C. Service quality gaps D. Service productivity Page 1 of (4) Service recovery refers to: A. Cost reduction B. Employee training C. Resolving service failure D. Promoting new services (5) The blueprinting of service delivery focuses on: A. Organizational structure B. Financial strategy C. Service process visualization D. Technological innovation (6) What role does ‘Physical Evidence’ play in service marketing? A. Determines pricing strategies B. Reduces perceived risk by providing tangible cues C. Replaces advertising efforts D Eliminates the need for branding (7) In the service–profit chain model, which of the following directly influences customer satisfaction? A. Employee loyalty B. Service pricing strategy C. Advertising campaigns D. Competitor analysis (8) Which of the following is an example of ‘Possession Processing’ services? A. Haircut B. Car Repair C. Hotel Stay D. Online Banking (9) Which strategy deals with managing customer demand? A. Yield management B. Supply chain optimization C. Employee engagement D. Promotional pricing (10)Achatbot is an example of: A. Tangible service B. Human resource tool C. AI-based service tool D. Corporate policy (11)Which of the following strategies would best reduce Gap 3 in the SERVQUAL model? A. Train employees and provide clear performance standards B. Improve service communications and advertising C. Conduct better market research D. Offer discounts for dissatisfied customers (12)The ‘Zone of Tolerance’ in services marketing refers to: A. The physical area in which services are delivered B. The time between service request and delivery C. The range of service performance a customer considers acceptable D. The length of the customer relationship (13)An example of a non-physical rate fence is: A. Economy vs. business class seating B. Early bird pricing C. Private dining rooms D. Room with air conditioning Page 2 of (14)A House of Brands strategy allows: A. Brand consistency across services B. Shared brand equity among all services C. Independent positioning of each brand D. Single marketing campaign for all brands