(Solved): bus 384 Chapter 3 test...

BUS 384 Chapter 3 Test 

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 submitted 25 May

_____ are any aspects of a good or service that a customer must believe in but cannot personally evaluate even after purchase and consumption.

•  a. Search attributes    
•  b. Experience attributes    
•  c. Credence attributes    
•  d. Variant attributes

Eric is admitted to a hospital to undergo a surgery for hernia. He is unable to discern the expertise of his surgeon before the surgery nor evaluate the quality of the service after the surgery. In this case, the expertise of Eric's surgeon is an example of a(n) _____.

• a. search attribute    
• b. experience attribute    
• c. credence attribute    
• d. variant attribute

Which of the following is a difference between the evaluation of goods and the evaluation of services by customers?

•  a. Customers rely more on information from nonpersonal sources when evaluating services, whereas they rely more on information from personal sources when evaluating goods.    
•  b. Customers perceive lesser risks when buying services, whereas they perceive greater risks when buying goods.    
•  c. Customers cannot look at or touch services prior to the purchase decision, whereas they can feel a product prior to purchase.    
•  d. Customers adopt innovations in services faster, whereas they resist adopting innovations in products.

According to several research studies, which of the following findings is true of the role of quality in gaining competitive advantage?

• a. Quality is negatively related to return on investment for almost all kinds of market situations.    
• b. A strategy of quality improvement is usually accompanied by increased short-run profitability.    
• c. Quality has a trivial effect on returns in most kinds of market situations.    
• d. Businesses offering premium-quality goods usually have large market shares.

Which of the following statements is true of quality as a key competitive priority?

•  a. It has evolved over the years and now is generally considered an order qualifier.    
•  b. It is usually improved by businesses to increase short-run profitability.    
•  c. It is negatively related to a higher return on investment for almost all kinds of market situations.    
•  d. It suffers increasingly with time reductions in a supply chain.

At Ritufa Food Corp., flexibility is the key competitive priority. Food products are manufactured according to customers' requirements, at any volume and globally delivered at any time. Given this information, Ritufa Food Corp.'s operations strategy is based on _____.

•  a. compensation    
•  b. mass customization    
•  c. mass standardization    
•  d. cost reduction

Rues and West Inc. manufactures various electronic goods. It uses mass-customization strategies to make its products available to all consumers at any place in the world. It also manufactures various electronic goods in the same assembly line. Given this information, Rues and West Inc.'s operations are aligned around _____.

• a. sustainability    
• b. flexibility    
• c. reliability    
• d. durability

_____ is the discovery and practical application or commercialization of a device, method, or idea that differs from existing norms.

• a. Measurement    
• b. Learning    
• c. Innovation    
• d. Diversity

Identify a true statement about corporate strategy of large organizations.

•  a. It defines the focus for strategic business units of an organization.    
•  b. It provides the means by which business strategies are accomplished.    
•  c. It is necessary to define the businesses in which a corporation will participate.    
•  d. It defines how an organization's processes are designed and organized.

An operations strategy can be defined as:

• a. the set of decisions across the value chain that supports the implementation of higher-level business strategies.    
• b. a strategy necessary to define the businesses in which a corporation will participate.    
• c. a strategy necessary to develop plans for the acquisition and allocation of resources among businesses.    
• d. the decisions management must make as to what type of process structure is best suited to produce goods or create services.    

_____ is driven by ethics and human ideals of protecting the planet and its people for the well-being of future generations.

• a. Environmental sustainability    
• b. Social sustainability    
• c. Economic sustainability    
• d. Political sustainability

Sustainability is best described as a(n) _____.

•  a. idea that differs from existing norms    
•  b. pattern that integrates an organization's major goals    
•  c. organizational strategy    
•  d. competitive priority

According to Professor Terry Hill's generic strategy framework, which of the following statements is true of the first loop?

•  a. It ties together an organization's corporate strategy and marketing strategy.    
•  b. It describes how operations evaluate the implications of competitive priorities in terms of process choice.    
•  c. It determines if process choice decisions are consistent with infrastructure decisions.    
•  d. It represents operations' input into the corporate and marketing strategy.

Applying Professor Terry Hill's generic strategy framework to McDonald's, the operating design choices of resource scheduling, inventory placement and control, and standardized operational and job procedures best relate to the corporate objective of _____.

•  a. profitable growth    
•  b. operational excellence    
•  c. operational sustainability    
•  d. operational diversity

Customer segments cannot be based on sales volume and profitability.

•   a. True
•   b. False    

For firms that adopt innovation as a core component of their strategy, price, not product performance, is the major selling feature.

•   a. True
•   b. False    

Goods and service features and performance characteristics that differentiate one customer benefit package from another and win the customer's business are called     .

   are those that a customer can determine prior to purchasing goods or services.
    often drive simultaneous improvements in quality, cost, and productivity.
    is an example of innovation in services.