Will and Jason NaJami are going to open a swimming pool service this summer. They will put in pools, repair damaged ones and provide a pool-cleaning service. Why should they consider designing and implementing an effective service recovery strategy?

What will be an ideal response?


An effective service recovery strategy can increase customer satisfaction and loyalty and generate positive word of mouth. A well-designed service recovery strategy also provides information that can be used to improve service as part of a continuous improvement effort. By making adjustments to service processes, systems and outcomes based on learning from service recovery experiences, companies increase the likelihood of "doing it right the first time". In turn, this reduces costs of failures and increases initial customer satisfaction.
Also, there are tremendous downsides to having no service recovery or ineffective service recovery strategies. Poor recovery following a bad service experience can lead to customers who are so dissatisfied they become "terrorists", actively pursuing opportunities to openly criticize the company. Furthermore, repeated service failures without an effective recovery strategy in place can aggravate even the best employees. The costs in employee morale and even lost employees can be huge, but often overlooked, costs of not having an effective service recovery strategy.

Business

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Which of the following is a reason why retailers tend to use magazines for image advertising?

A. Wider target audience B. High readership C. Extended shelf life D. Low cost of advertising E. High reproduction quality

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In regression analysis, you predict the value of one variable on the basis of one or more other related variables. The variable being predicted is called the ____________________ variable, and the related variables used to make the prediction are called ____________________ variables

Fill in the blank(s) with correct word

Business

Management advisory services are designed to help

A. government agencies. B. creditors. C. clients. D. employers.

Business

All of the following items are generally excluded from income except

A) child support payments. B) interest on corporate bonds. C) interest on state and local government bonds. D) life insurance proceeds paid by reason of death.

Business