Chapter 14: Defining and Measuring Customer Satisfaction

According to the Journal of Advertising Research, the fastest growing area in
market research is:
1. employee surveys
2. customer satisfaction surveys
3. environmental design
4. management development programs
5. service failure and recovery analysis
Which of the following is not one of the reasons that fueled the growth of the 1970's consumerism movement?
1. skyrocketing inflation
2. automation
3. deregulation
4. more informed consumers
5. surplus labor
Which one of the following statements regarding customer satisfaction is correct?
1. the average business does not hear from 85 percent of its unhappy customers
2. for every complaint received, 9 or 10 people actually have the same problem
3. complainers are more likely to do business with you again than noncomplainers
4. the average person with a problem tells more than 20 people
5. customers who have their complaints resolved tell an average of 26 people
Which of the following statements regarding customer satisfaction is incorrect?
1. bad news is communicated to more people than good news
2. complainers are more likely to do business with you again than noncomplainers
3. the average business does not hear from 80 percent of its unhappy customers
4. for every complaint received, 26 customers actually have problems
5. 95 percent of customers who have their complaints resolved quickly will continue to conduct business with the firm
The most popular definition of customer satisfaction/dissatisfaction is based on:
1. the SERVQUAL Model
2. the Servuction Model
3. the Scale of Market Entities
4. the Expectancy Disconfirmation Model
5. Technical Assistance Research Program (TARP)
Positive disconfirmation of consumer expectations occurs when:
1. expectations meet perceptions
2. expectations exceed perceptions
3. expectations are less than perceptions
4. perceptions are less than expectations
5. expectations meet or exceed perceptions
Customers are most dissatisfied when a ______________ occurs.
1. disconfirmation
2. zone of intolerance
3. positive disconfirmation
4. confirmation
5. negative disconfirmation
Which of the following is not a benefit of customer satisfaction?
1. the firm is more insulated from price competition
2. the firm provides a positive work environment for its employees
3. positive word-of-mouth is generated from satisfied customers
4. satisfied customers make purchases more frequently
5. all the above
According to the text, of the following customer satisfaction methods, which is the least effective in producing meaningful results?
1. The Scale of 100 Approach
2. Personal Interviews
3. The "Very Dissatisfied/Very Satisfied" Approach
4. The Combined Approach
5. Employee Surveys
According to the text, of the following customer satisfaction methods, which is
the most effective in producing meaningful results?
1. The Scale of 100 Approach
2. Personal Interviews
3. The "Very Dissatisfied/Very Satisfied" Approach
4. The Combined Approach
5. Employee Surveys
In general, the distribution of most companies’ customer satisfaction ratings is:
1. bimodal
2. normal
3. negatively skewed
4. positively skewed
5. erratic
Which of the following is not an indirect method of measuring customer satisfaction?
1. sales records
2. profit reports
3. registered complaints
4. the "Scale of 100 Approach"
5. all the above are indirect measures
Which of the following tactics would yield higher customer satisfaction scores?
1. utilizing mail surveys instead of personal interviews
2. stating the question in a dissatisfied form instead of a satisfied form
3. asking general questions prior to specific questions
4. avoiding data collection until a substantial period of time had elapsed since the purchase
5. all the above would generate lower customer satisfaction scores
Under which of the following scenarios is it more likely that a firm would invest the resources necessary to increase its satisfaction ratings from 95 to 98 percent?
1. Competing firms have 90 and 88 percent satisfaction ratings
2. Competing firms have 85 and 75 percent satisfaction ratings
3. Competing firms have 96 and 97 percent satisfaction ratings
4. There are many opportunity costs associated with the investment
5. The market share gained has little effect on the firm's bottom-line profits
The primary contribution of Babich's customer satisfaction models is that it
stresses the importance of knowing __________.
1. customer satisfaction ratings
2. supplier satisfaction ratings
3. employee satisfaction ratings
4. competitor satisfaction ratings
5. stock holder satisfaction ratings
According to one group of consultants, on average, __________ percent of customers who defect to competitors say they were "satisfied" or "very satisfied" with their former providers.
1. 5 to 25
2. 15 to 35
3. 25 to 45
4. 45 to 65
5. 65 to 85
__________ is the level of service quality a customer believes is likely to
occur.
1. desired service
2. predicted service
3. ideal service
4. adequate service
5. derived expectations
Customer satisfaction can be defined by comparing:
1. predicted service and perceived service
2. predicted service and desired service
3. desired service and perceived service
4. adequate service and perceived service
5. expected service and desired service
Which of the following are service quality measures?
1. customer satisfaction
2. desired service
3. perceived service superiority
4. perceived service adequacy
5. both c and d
_______ service is the level of service the customer actually wants to receive.
1. desired service
2. predicted service
3. ideal service
4. adequate service
5. derived expectations
The zone of tolerance is most directly related to which of the following unique service attributes?
1. intangibility
2. perishability
3. heterogeneity
4. inseparability
5. homogeneity
The zone of tolerance is defined by the difference between:
1. predicted service and perceived service
2. predicted service and desired service
3. desired service and adequate service
4. adequate service and perceived service
5. expected service and desired service
Personal factors that are stable over time and that increase a customer's
sensitivity to how the service should be best provided are referred to as:
1. situational factors
2. explicit service promises
3. perceived service alternatives
4. transitory service intensifiers
5. enduring service intensifiers
Which of the following is not a factor that influences perceived service?
1. explicit service promises
2. perceived service alternatives
3. past experience
4. implicit service promises
5. word-of-mouth communications
Situational factors such as bad weather, catastrophe, and random events of over-demand influence __________ levels.
1. desired service
2. predicted service
3. ideal service
4. adequate service
5. derived expectations
The number of competing alternative service providers available has the biggest influence on:
1. desired service
2. predicted service
3. ideal service
4. adequate service
5. derived expectations
One of the major factors driving customer expectations of desired service is:
1. predicted service
2. the customer's personal service philosophies
3. adequate service
4. transitory service intensifiers
5. perceived service alternatives
When forming customer expectations, price acts as a:
1. enduring service intensifier
2. transitory service intensifier
3. explicit service promise
4. implicit service promise
5. situational factor
When forming customer expectations, the firm's physical facility acts as a:
1. enduring service intensifier
2. transitory service intensifier
3. explicit service promise
4. implicit service promise
5. situational factor
When forming customer expectations, the firm's brochure acts as a:
1. enduring service intensifier
2. transitory service intensifier
3. explicit service promise
4. implicit service promise
5. situational factor
The higher the number of perceived service alternatives:
1. the higher the level of adequate service expectations
2. the lower the level of adequate service expectations
3. the more narrow the zone of tolerance
4. a and c
5. b and c
Greg’s flight on Ryanair from Dublin to Barcelona departed two hours late because of a high winds in Dublin. The weather that delayed Greg’s flight is a:
1. transitory service intensifier
2. self-perceived service role
3. predicted service intensifier
4. situational factor
5. personal needs
A bias in survey results because of responses being received from only a limited group among the total survey population is called:
1. response bias
2. question bias
3. social desirability bias
4. collection bias
5. none of the above
Which of the following is NOT a criticism of customer satisfaction research?
1. focuses on whether current needs are being met but fails to investigate customers’ future needs
2. focus on registered complaints
3. focus on global attributes and ignores operational elements
4. it often excludes the firm’s employees from the survey process
5. customer know what they want and it is the worst strategy to follow
Naomi’s children are giving her a week at a spa for her seventieth birthday. The expectations of the services the spa will provide are much higher because they are selecting the spa for their mother’s approval rather than for their own use. This is an example of a(n) _________ expectation.
1. derived service
2. self-perceived service
3. explicit service
4. enduring service
5. transitory service

Chapter 14: Defining and Measuring Customer Satisfaction

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