IT Strategy 1st Edition By James McKeen – Test Bank

Chapter 11

Enhancing the Customer Experience with Technology

1)

Historically, IT developers designed systems for internal customers as opposed to
external customers.
Answer:

TRUE
Page Ref: 145
Skill:

Easy
AACSB:

Use of IT

2)

The primary source of dissatisfaction when using self-service technology is the simple failure to perform.
Answer:

TRUE
Page Ref: 152
Skill:

Easy
AACSB:

Use of IT

3)

By building in redundancy and the ability to self-monitor, most technology systems can provide virtually continuous service.
Answer:

TRUE
Page Ref: 152
Skill:

Easy
AACSB:

Use of IT

4)

The decision to minimize the possibility of technological failure must be based on the full costs of outage as opposed to loss of customer goodwill.
Answer:

FALSE
Page Ref: 152
Skill:

Moderate
AACSB:

Use of IT

5)

One way that organizations can reduce the impact of self-service technology failure is to require training for all interface designers.
Answer:

TRUE
Page Ref: 153
Skill:

Easy
AACSB:

Use of IT

6)

The design of transactional encounters is an art, requiring a very creative staff to design the transaction process.
Answer:

FALSE
Page Ref: 153
Skill:

Moderate
AACSB:

Use of IT

7)

Service recovery is the ability of an organization to rectify failed encounters.
Answer:

TRUE
Page Ref: 156
Skill:

Easy
AACSB:

Use of IT

8)

Web technology allows business to create self-service applications that allow customers to access business systems with out any assistance from company employees.
Answer:

TRUE
Page Ref: 145
Skill:

Easy
AACSB:

Use of IT
9)

The nature of economic value follows a natural progression from commodities to goods to services then to experiences.
Answer:

TRUE
Page Ref: 146
Skill:

Easy
AACSB:

Use of IT

10)

Experiences are fungible and pricing is typically established on the basis of costs and availability.
Answer:

FALSE
Page Ref: 146
Skill:

Moderate
AACSB:

Use of IT

11)

Providers intentionally use services as the stage and commodities as props to create a memorable experience for the customer.
Answer:

FALSE
Page Ref: 146
Skill:

Hard
AACSB:

Reflective Thinking

12)

The level of customer participation will directly affect the customer’s experience.
Answer:

TRUE
Page Ref: 147
Skill:

Moderate
AACSB:

Reflective Thinking

13)

Customer marketing efforts both cater to a customer’s need for experience and creates a customer’s need for experience.
Answer:

FALSE
Page Ref: 147
Skill:

Hard
AACSB:

Reflective Thinking

14)

There is an increased economic value to an organization through the staging of customer experiences.
Answer:

TRUE
Page Ref: 147
Skill:

Hard
AACSB:

Reflective Thinking

15)

The majority of customer encounters experienced by organizations are customer initiated.
Answer:

TRUE
Page Ref: 148
Skill:

Easy
AACSB:

Reflective Thinking