Page 113 - DMGT522_SERVICES MANAGEMENT

Services Management

Notes Diversification: Venturing into a new market with a new product.
Divest Strategy: Dispose off a SBU from the portfolio.

Focus Strategy: When SBU concentrates entire attention on specific customer segment.
Problem Child: SBUs which have doubtful future.
SBU: Strategic Business Units

Service Recovery: Correcting service failures occurred during entire process.
4.7 Review Questions

1. Critically analyse the BCG matrix in context to the services sector.
2. Do you think that BCG matrix was a better way to study market than GE model? Why or
why not?
3. Discuss Porter’s Model in context of Indian modern retail scenario.
4. “Growth can be achieved only with greater understanding of the service firm’s markets.”
Discuss.
5. Perform a SWOT analysis of any one service firm in hospitality industry and one banking
firm.

6. “Service Recovery means a second chance”. Comment.
7. In the education sector what are the possible capacity constraints that the service firms can
face?

8. “Understanding and sketching a pattern of demand variation is very important in services”.
Discuss.
9. Suppose you are the marketing manager of a healthcare firm. What would you do to
manage excess demand if you have capacity constraints which you cannot change?
10. Suppose you are the marketing manager of a hotel. What would you do to manage excess
demand knowing that you cannot control demand?
11. What are the ways to manage the customers waiting to avail the service in a bank and at
a doctor’s clinic?

12. Do you think that the waiting time and management of waiting lines are linked with
customer loyalty? Substantiate your answer.

Answers: Self Assessment

1. (c) 2. (b)
3. (d) 4. (c)
5. False 6. True

7. True 8. True
9. Capacity 10. Facilities
11. Time 12. Capacity/demand
13. True 14. True
15. False 16. True

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