Great service or good service? Is great service rewarding? Service quality is a critical issue. The quality of a product is tangible and can be easily measured by its performance and features. On the other hand, service is intangible. There is no defined method to monitor service quality. It is true that customers evaluate the process and the outcome of the service provided, but beyond a certain “failure point”, improvements in service may not be an advantage to a company.
If the company manages to provide an acceptable level of service, which prevents the customers from complaining at an unacceptable rate, no benefit can be accrued by further investments in service. For instance, an automaker failed to make a mark despite reducing its response time by twenty percent. The managers did not consider factors such as brand loyalty, which prevents a consumer from switching brands. Nor did they analyze whether the effort would attract new customers or whether the strategy was easy to mimic by its competitors. The only advantage was that the strategy was easy to advertise.
• Was appealing to its existing customers.
• Could be sustained in the future.
• Would yield positive customer feedback.
• Was a method its competitors could imitate.
• Account for the popularity of a scheme.
• Assess a certain type of business investment.
• Outline the process of implementing a policy.
• Criticize the way businesses function.
• The discussion about the automaker serves which of the following functions in the passage?
• It describes an exception to a rule.
• It undermines the idea presented in the first paragraph.
• It provides an example of a point made in the first paragraph.
• It illustrates one of the many business strategies.
• The author has written the last sentence “The only_____to advertise” primarily to.
• Emphasize the relatively low value of service improvement.
• Show that improvements...
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