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Marketing Exam Study! 1)The Transcendent view: Quality is synonymous with excellence; argues that people recognize quality only through the experience gained from repeated exposure. Customers will know quality only when they see it. 2)The Produce-Based approach: quality is a measurable variable. difference in quality represent differences in the attributes possessed by the product. This view fails to account for differences in the tastes, needs and preferences of individual customers. 3)User Based definitions: “quality lies in the eye of the beholder”. Quality equals maximum satisfaction. Recognizes that different customers have different wants and needs 4)The manufacturing-based approach: concerned primarily with engineering and manufacturing practices. Focuses on conformance to internally developed specification, which are often driven by productivity and cost-containment goals. 5)Value Based definitions: define quality in terms of value and price. Trade-off between performance and price.

Gaps in service design and delivery

There are 7 types of gaps that can occur at different points during the design and delivery of a service performance: 1)The knowledge gap: the difference between what service providers believe customers expect and customers’ actual needs and expectations. 2)The standards gap: the difference between management’s perceptions of customer expectations and the quality standards established for service delivery. 3)The delivery gap: the difference between specified delivery standards and the service provider’s actual performance on these standards. 4)The internal communications gap: the difference between what the company’s advertising and sales personnel think are the product’s features, performance, and service quality level, and what the company is actually able to deliver. 5)The perceptions gap: The difference between what is delivered and what customers perceive they have received (unable to accurately evaluate service quality) 6)The interpretation gap: the difference between what a service provider’s communication efforts actually promise and what a customer thinks was promised 7)The service gap: (THE MOST SERIOUS GAP) the difference between what customers expect to receive and their perception of the service that is actually delivered

Gaps 1,5,6,7 are external gaps (between customer and organization) Gaps 2,3, 4 are internal gaps (between departments within the organization)

Customer-driven approaches to improve productivity

Productivity measure the output produced relative to the input used.

The task of improving service productivity usually assigned to operations managers. Such actions include (but not limited to):

  • control costs

  • reduce waste of materials or labour


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