Are you looking for MCQs to help you improve your marketing management and service marketing skills? Look no further! We have compiled a list of 75 MCQs that will help you develop your understanding of marketing concepts. After completing these questions, test yourself with our free online marketing management quiz.
Marketing Management, Service Marketing MCQs: Set 2
1. Internal marketing deals with
A. Marketing the products to employees
B. Marketing the products in the local market
C. Marketing the products inside the country
D. Identifying and taking care of employee’s needs and wants
Answer: (D)
2. What is meant by interactive marketing?
A. Marketing by interacting with employees
B. Marketing by interacting with dealers
C. Marketing is done by interacting between employees and customers
D. Marketing by interacting with top management
Answer: (C)
3. Consumer responses to environmental stimuli are characterized by approach or avoidance behaviors.
Consumer approach behavior is defined as
A. A desire to stay in the market
B. A desire to explore many products
C. A desire to communicate with society
D. Feelings of satisfaction
Answer: (B)
4. In order to improve the process and performance of the company towards the customers, they should try to ___.
A. Modernize the building
B. Modernize the product
C. Reduce the waiting time by adopting the reservation system
D. Asking customers to come another time
Answer: (C)
5. When developing servicescapes, firms recognize that their physical environment will affect employees and customers. This is primarily due to
A. Reflect on the quality of all spheres
B. Intangibility
C. Heterogeneity
D. Perishability
Answer: (A)
6. Consumers who seek convenience over price and personal attention are
A. Economic customers
B. Personalized customers
C. Apathetic customers
D. Ethical customers
Answer: (B)
7. Which of the following is NOT an example of an ambient condition in a retail environment?
A. Music
B. Signs
C. Scents
D. Lighting
Answer: (A)
8. Ambient conditions will have the least effect on customer behavior in which of the following service scapes?
A. A bakery shop
B. An air-conditioned hotel
C. An open five-story parking garage
D. Bookstore with an in-store coffee cart
Answer: (C)
9. In a(n) ___ environment, the service employees are physically present while customers are involved in the service production process at arm s length.
A. Self-service
B. Vertical service
C. Remote service
D. Saleable service
Answer: (A)
10. ___ is the customer’s composite of mental images of the service firm’s physical facilities.
A. Internal response moderators
B. Perceived services cape
C. Cognitive response
D. Emotional response
Answer: (B)
11. Total customer value consists of all of the following components except
A. Product value
B. Personal value
C. Image value
D. Time value
Answer: (B)
12. The emotional states of pleasure-displeasure, arousal-nonarousal, and dominance-submissiveness are types of ___
A. Internal response moderators
B. The holistic environment
C. Individual behaviors
D. Social interactions
Answer: (C)
13. Doing promotional activity is difficult in the marketing of which of the following services.
A. Leisure service industry
B. Education industry
C. NGO
D. Public sector
Answer: (C)
14. Consumer moods and attitudes are types of
A. Physiological customer responses
B. Emotional customer responses
C. Individual approach behaviors
D. Internal response moderators
Answer: (B)
15. Consumer feelings of pain, comfort, and physically fit are types of
A. Physiological customer responses
B. Emotional customer responses
C. Individual approach behaviors
D. Cognitive customer responses
Answer: (D)
16. The three primary visual stimuli that appeal to consumers on a basic level are
A. Harmony, contrast, and clash
B. Size, shape, and color
C. Blue, yellow, and green
D. Red, blue, and green
Answer: (B)
17. To manage demand and supply, the company can
A. Ask the customers to wait in peak demand
B. Adopt reservation systems to balance the demand
C. Divert to competitors
D. Deliver substitute products to customers
Answer: (B)
18. Which of the following statements pertaining to colors is false?
A. Warm colors are perceived as aloof or formal
B. Children appear to favor brighter colors
C. Adults tend to favor softer tones
D. Dark colors make large empty spaces look smaller
Answer: (D)
19. Which of the following statements pertaining to the location of the firm is false?
A. Location decision should consider the amount of customer involvement necessary to provide the service
B. Low contact firms should consider moving to sites that are closer to sources of supply, transportation, and labor
C. The actual location of high-contact services should be close to the street as possible
D. The firm’s facility should be compatible with its surrounding environment
Answer: (D)
20. Managing the peak demand becomes difficult due to ___ nature.
A. Intangibility
B. Perishability
C. Inseparable
D. Heterogenous
Answer: (B)
21. The service industry has grown many folds due to ___
A. less growth in other sectors
B. more growth in all sectors
C. more affluence of customers
D. effective marketing strategies of service marketers
Answer: (C)
22. Growth in leisure and entertainment services due to ___
A. more surplus money left with customers
B. interest that people want to spend leisure time fruitfully
C. more support from the government to invest in such an industry
D. growth of other sectors contributed to this growth
Answer: (A)
23. Which of the following statements is not true?
A. Combinations of warm and cool colors can create relaxing, yet stimulating atmospheres
B. Lighter hues are popular for fixtures
C. Darker hues are used for attention grabbers
D. Colour does not influence the consumer spirits
Answer: (D)
24. Positioning map in services will helps too ___
A. Identify the position of the company on the world map
B. Identify the position of the company on the industry map
C. Identify the position of the company on the local map
D. Know-how the brand is perceived by customers among other players in the market
Answer: (D)
25. Word-of-Mouth communication networks are particularly important for service firms because
A. Service customers tend to rely more on personal than non-personal sources of information
B. Service firms do not believe in promotional efforts
C. Service firms can seldom afford to pay for promotional expenditures
D. Service customers tend to rely more on non-personal than personal sources of information
Answer: (A)
26. Initially, bank counter staff were uncomfortable with their new task of selling services to customers.
They viewed themselves as bank counter staff and not salespersons. This is an example of which type of conflict?
A. Channel conflict
B. Organization/client conflict
C. Person/role conflict
D. Inter-client conflict
Answer: (C)
27. As part of the internal marketing strategy, the company takes up
A. Performance appraisal
B. Training employees
C. Assigning more responsibilities
D. Transferring the employees
Answer: (B)
28. The service quality is determined on the basis of ___.
A. Employee involvement
B. Customer involvement
C. Top management involvement
D. Employee and customer involvement
Answer: (D)
29. Services marketing is important in today’s context because of
A. Generates more customers
B. Generates more GDP
C. Generates more jobs
D. Generates more jobs and GDP
Answer: (D)
30. ___ gives discretion to front-line personnel to meet the needs of consumers creatively.
A. Empowerment
B. Enfranchisement
C. Service passion
D. Service climate
Answer: (A)
31. It is important for organizations to change and develop. The stages that service organizations go through are known as the Product Life Cycle. The Introduction Stage refers to
A. Introducing a change to the service
B. Introducing a new service overseas
C. Introducing new ideas to the market
D. Introducing existing services to new markets
Answer: (C)
32. It is important for organizations to change and develop. The stages that service organizations go through are known as the Product Life Cycle. The Growth Stage refers to
A. Growth of the new service in the minds of employees
B. Introduction of new services to grow the portfolio of the company
C. Grow advertising spend to loyal customers
D. Raise awareness of new service to new customer
Answer: (B)
33. It is important for organizations to change and develop. The stages that service organizations go through are known as the Product Life Cycle. The Saturation Stage refers to
A. All competitors leave the marketplace
B. New competitors join the marketplace
C. Many competitors seeking the same customers
D. All competitors seek the same customers
Answer: (C)
34. It is important for organizations to change and develop. The stages that service organizations go through are known as the Product Life Cycle. The Decline Stage refers to
A. Sales decline but remain profitable
B. Profitability improves and sales decline
C. Sales increase and profitability decline
D. Profitability declines and sales decline
Answer: (D)
35. Which of the following was NOT discussed as a Driver for Service Change?
A. Regulations
B. Perishability
C. Consumer
D. Competitors
Answer: (B)
36. The characteristics of what, when, and how the new services are delivered to the customer are called
A. Continuum of new service development
B. Service delivery continuum
C. New service and customer delivery continuum
D. Customer delivery continuum
Answer: (B)
37. Strategies to increase the efficiency of service operations include all of the following, except
A. Training the employees
B. Reduce the waiting time
C. Giving subcontracting to others
D. Engage the customers effectively by explaining the service process
Answer: (C)
38. One of the major lessons to learn from the Service-Profit Chain is:
A. Customer loyalty leads to customer satisfaction
B. Employee retention leads to employee satisfaction
C. The firm’s profitability leads to customer satisfaction
D. Revenue growth leads to customer satisfaction
Answer: (A)
39. Important components of internal service quality include all of the following, except for
A. Customer referrals
B. Rewards and recognition
C. Workplace design
D. Job design
Answer: (A)
40. Customer retention, repeat business, and customer referrals are alternative measures for
A. Internal service quality
B. External service value
C. Employee satisfaction
D. Customer loyalty
Answer: (D)
41. The buying process of services becomes complicated because
A. Difficult to assess and compare
B. No direct sales are available
C. Many products lead to confusion
D. Door delivery is not possible
Answer: (A)
42. The consumer management areas of particular importance to service marketers are
A. Managing customer participation
B. Managing customer waits
C. Managing uncooperative customers
D. Customer relationship management
Answer: (A)
43. Efforts to transform customers into partial employees should not be interpreted as the firms’ way of distancing itself from the customer. This is consistent with which of the following guidelines for increasing customer participation?
A. Develop customer trust
B. Promote the benefits and stimulate trial
C. Understand customer habits
D. Monitor and evaluate the performance
Answer: (B)
44. Blueprints identify all of the following process steps, except
A. The direction in which processes flow
B. The time it takes to move from one process to another
C. The costs involved with each processing site
D. The amount of inventory build-up at each step
Answer: (D)
45. The most common mistake made when constructing a service blueprint is
A. Bottlenecks are not identified correctly
B. Failure points are not identified correctly
C. The blueprint is one-sided
D. Representing only the firm’s perception of the process
Answer: (D)
46. Co-production of services is made possible due to ___ inherent in the production of services.
A. Homogeneity
B. Intangibility
C. Heterogeneity
D. Inseparability
Answer: (D)
47. Internal marketing refers to which of the following options.
A. Marketing its products to its customers
B. Marketing its products to its employees
C. Marketing to local customers
D. Ensuring that the employees are satisfied in the organization
Answer: (D)
48. Physical evidence helps
A. To evaluate the service by customers
B. To deliver the services
C. To evaluate the services by the provider
D. To assess the quality by the third party
Answer: (A)
49. The augmented product is one that offers
A. Basic services
B. Additional services
C. Services which are more valuable than any other competitors
D. Multiple services
Answer: (C)
50. Potential product is the one that can be ___.
A. Enjoys a competitive edge wherein no one can come nearby
B. Satisfies customer needs
C. Caters to large segments
D. Is available in all the places
Answer: (A)
51. In order to win over competitors and attract customers, the company needs to create ___.
A. New markets
B. New customers
C. Meaningful unique selling proposition which is valuable and has more opportunities
D. More products
Answer: (C)
52. While advertising the service product, the marketers need to___.
A. Show the service product
B. Need not show the service product
C. Show some tangible clues to help the customers understand and evaluate
D. Create a world-class advertisement to attract customers
Answer: (C)
53. Customers may go dissatisfied even when the company offers the best in the industry due to
A. More competition in the market
B. More customers in the market
C. More products in the product line
D. The customers expect more than what the company offers due to more exaggerated advertisements
Answer: (D)
54. Internal marketing refers to satisfying the
A. Employees of the organization
B. Customers of the organization
C. Customers as well as employees
D. public
Answer: (A)
55. Customers may get dissatisfied due to
A. Less waiting time
B. More waiting time
C. More products
D. Fewer products
Answer: (B)
56. Dissatisfaction due to more waiting time can be resolved by
A. Introducing reservation systems
B. Asking the customers to come next time
C. Asking the customers politely to wait
D. Reducing demand
Answer: (A)
57. When waiting time is unavoidable, the company can
A. Ask the customers to wait for some time
B. make the customers wait in the canteen
C. Provide refreshments to customers
D. Provide magazines and newspapers and show relevant movies and videos to kill time
Answer: (D)
58. When the demand is greater than the supply, then the company can
A. Expand the facility
B. Ignore the excess demand
C. Ask the customers to wait for some time
D. Divert the excess demand to competitors
Answer: (A)
59. Service quality depends on
A. Customer involvement in the process
B. Timing of the delivery process
C. The involvement of the customer and employee
D. The timing of the process
Answer: (C)
60. In the service marketing mix People refer to ___.
A. Employees and customers
B. Customers
C. Employees
D. Public at large
Answer: (A)
61. Physical evidence is more important in service marketing because
A. It is evidence of service quality
B. Customers are going to value this evidence
C. Every service provider uses it
D. every employee expects this
Answer: (B)
62. ___ acts as a clue for physical evidence.
A. Interior of the building
B. Cheque leaves
C. Quotation
D. Food
Answer: (A)
63. Service delivery becomes difficult without the support of the ___
A. Employee
B. Customer
C. Organization
D. managers
Answer: (B)
64. Product line refers to
A. Arrangement of products in the line
B. The assortment of products at the shop
C. Variety of products the company offers to customers
D. Waiting time of the customers
Answer: (C)
65. Empathy refers to
A. Providing service at the expected level
B. Making service available at all times
C. Being considerate and ready to assist customers
D. Providing service on the doorstep
Answer: (C)
66. Reliability refers to
A. Ability to perform the service dependably and accurately
B. Ability to perform the service at a cheap cost
C. Ability to perform the service in less time
D. Ability to perform the service all the time
Answer: (A)
67. Assurance refers to
A. Trust and confidence of the employees in the customers
B. Trust and confidence of customers in employees
C. The promise was given to stakeholders
D. Consistent performance by the company
Answer: (B)
68. Gap model indicates the
A. Possible failures in the service delivery process
B. The outcome of the process
C. Process of the service delivery
D. The sequence in which service delivered
Answer: (A)
69. Service recovery refers to
A. Recover the loss from the customers
B. Recover the loss from the competitors
C. Recover from the failure
D. Recover from the market
Answer: (C)
70. Service encounter refers to
A. conveying the service products to customers
B. Selling the products to the customers
C. Contact established with the customer at the delivery process
D. Encountering the failures
Answer: (C)
71. Customer expectation becomes exaggerated by
A. Exaggerated advertising
B. The acts of competitors
C. The activities of middlemen
D. Over expectation from the service provider
Answer: (A)
72. Intangible nature of services poses
A. Problem to marketers
B. Problems with customers
C. The difficulty for the researcher
D. Problem for service designers
Answer: (A)
73. In order to manage the Peak-time demand, the service provider can ___
A. Manage by introducing more products
B. Manage by adding additional facilities
C. Manage by diverting the customers for other services
D. Manage by asking the customers to wait for some time
Answer: (B)
74. The service quality of the company may be affected by the act of ___
A. Receptionist
B. Competitors
C. Advertisers
D. System administrator
Answer: (A)
75. ___ encourages quick decisions and works best for businesses where low-involvement purchase decisions are made.
A. Response moderators
B. Scent appeals
C. Warm colors
D. Sound appeals
Answer: (A)
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