Services Marketing MCQs 2026

Yield management in services uses

1. A fixed price regardless of demand always ✓
2. B zero revenue from empty capacity ✓
3. C dynamic pricing to match perishable capacity with demand ✓
4. D only cost-plus without timing ✓

Services are intangible meaning

1. A they are always free ✓
2. B they never require people ✓
3. C they cannot be touched or stored before delivery ✓
4. D they have no customer interaction ✓

Inseparability of services means

1. A services are always manufactured in warehouse months ahead ✓
2. B customers never meet providers ✓
3. C quality is always identical without variation ✓
4. D production and consumption often occur simultaneously ✓

Variability (heterogeneity) in services refers to

1. A perfect standardization always ✓
2. B zero human involvement ✓
3. C quality depending on who provides them and when ✓
4. D identical outcome every second ✓

Perishability of services means

1. A services last forever in inventory ✓
2. B empty airline seats can be warehoused ✓
3. C hotel rooms saved for next year unchanged ✓
4. D unused capacity cannot be stored for later sale ✓

The extended marketing mix for services adds people, process and

1. A politics ✓
2. B plumbing ✓
3. C physical evidence ✓
4. D photosynthesis ✓

Servicescape refers to

1. A physical environment where service is delivered ✓
2. B only online server code ✓
3. C only employee payroll ✓
4. D only competitor pricing ✓

Moment of truth in services is

1. A any encounter where customer forms impression of service quality ✓
2. B only the final payment moment ✓
3. C only factory production step ✓
4. D only annual shareholder meeting ✓

Service quality gap model (SERVQUAL) includes gaps between

1. A only factory cost and revenue ✓
2. B only two competitors' logos ✓
3. C only supplier and raw material ✓
4. D customer expectation and perceived performance ✓

Reliability in SERVQUAL means

1. A only fancy physical appearance ✓
2. B ability to perform promised service dependably and accurately ✓
3. C only empathy without delivery ✓
4. D only low price regardless of performance ✓

Internal marketing treats employees as

1. A costs to minimize with zero training ✓
2. B obstacles to customer contact ✓
3. C internal customers whose satisfaction enables external service quality ✓
4. D replaceable without any impact ✓

Customer participation in services can

1. A increase efficiency but also introduce variability ✓
2. B never affect outcomes ✓
3. C eliminate need for any staff ✓
4. D guarantee perfect quality always ✓

Service recovery after failure should

1. A ignore complaint and blame customer ✓
2. B hide error from management ✓
3. C acknowledge problem, apologize and fix promptly ✓
4. D charge extra for fixing mistake ✓

Professional services marketing often relies on

1. A only mass discount coupons ✓
2. B only shelf placement in supermarket ✓
3. C only vending machine distribution ✓
4. D reputation, referrals and relationship building ✓

Gap between service promise in ads and actual delivery creates

1. A customer dissatisfaction and negative word-of-mouth ✓
2. B guaranteed loyalty increase ✓
3. C zero impact on brand ✓
4. D automatic market share gain ✓

Services marketing scenario 7: improving consulting firm through focus on tangibles and physical evidence primarily addresses

1. A physical environment and equipment that shape customer confidence ✓
2. B ignoring customer contact moments entirely ✓
3. C reducing training to cut cost regardless of quality ✓
4. D promising more in ads while delivering less ✓

Services marketing scenario 12: improving university through focus on reliability of promised service primarily addresses

1. A ignoring customer contact moments entirely ✓
2. B reducing training to cut cost regardless of quality ✓
3. C promising more in ads while delivering less ✓
4. D consistent delivery of promised outcomes on time accurately ✓

Services marketing scenario 18: improving airline through focus on responsiveness to requests primarily addresses

1. A ignoring customer contact moments entirely ✓
2. B speed and willingness to help when customers need assistance ✓
3. C reducing training to cut cost regardless of quality ✓
4. D promising more in ads while delivering less ✓

Services marketing scenario 28: improving university through focus on assurance through staff competence primarily addresses

1. A ignoring customer contact moments entirely ✓
2. B reducing training to cut cost regardless of quality ✓
3. C promising more in ads while delivering less ✓
4. D staff knowledge and courtesy that inspire trust and security ✓

Services marketing scenario 35: improving mobile banking app through focus on empathy in customer care primarily addresses

1. A caring individualized attention to customer concerns ✓
2. B ignoring customer contact moments entirely ✓
3. C reducing training to cut cost regardless of quality ✓
4. D promising more in ads while delivering less ✓

Services marketing scenario 45: improving hotel chain through focus on service process design primarily addresses

1. A ignoring customer contact moments entirely ✓
2. B streamlined steps reducing wait, error and customer effort ✓
3. C reducing training to cut cost regardless of quality ✓
4. D promising more in ads while delivering less ✓