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[answered] 1. Explain how the substitute effect, end-benefit effect, t


1. Explain how the substitute effect, end-benefit effect, total expenditure effect, and price quality effect influence consumers? price sensitivity.

2. Answer the following questions regarding The Gaps Model of Service Quality:

a. If you were the manager of a service organization and wanted to apply the gaps model to improve service quality, which gap would you start with? Why? In what order would you proceed to close the gaps?

b. Can provider gap 4, the communication gap, be closed prior to closing any of the other three provider gaps? Why or why not?

c. Which of the four provider gaps in the gaps model do you believe is hardest to close? Why?

3. Why is it important for a service firm to have a strong recovery strategy? Think of a time when you received less-than-desired service from a particular service organization. Was any effort made to recover? Do you still buy services from the organization? Why or why not? What should/could have been done differently?


1. Explain how the substitute effect, end-benefit effect, total expenditure effect, and

 

price quality effect influence consumers? price sensitivity. 2. Answer the following questions regarding The Gaps Model of Service Quality:

 

a. If you were the manager of a service organization and wanted to apply the gaps

 

model to improve service quality, which gap would you start with? Why? In what order

 

would you proceed to close the gaps?

 

b. Can provider gap 4, the communication gap, be closed prior to closing any of the

 

other three provider gaps? Why or why not?

 

c. Which of the four provider gaps in the gaps model do you believe is hardest to close?

 

Why? 3. Why is it important for a service firm to have a strong recovery strategy? Think of a

 

time when you received less-than-desired service from a particular service organization.

 

Was any effort made to recover? Do you still buy services from the organization? Why or

 

why not? What should/could have been done differently?

 


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