Chapter 7: Operations: Implementing Technologies, Processes and Controls

1. Which of the following is not a key characteristic of Customer Relationship Management, as defined by Ryals and Knox (2001)?

  1. adoption of a strong and explicit customer orientation
  2. comprehensive collection and storage of integrated customer information
  3. profiling of customers to enable tailored delivery of products and services
  4. identification of brand values and distinguishing between functional and emotional values

Answer: D

Explanation

Adoption of a strong and explicit customer orientation is not a key characteristic of Customer Relationship Management, as defined by Ryals and Knox (2001).

2. According to the text, why could the rigour required for formal quality systems be a competitive advantage to new ventures?

  1. because it encourages all staff to focus on the processes required to meet customer needs
  2. because funding is often provided for it by government
  3. because certain customers may insist on it
  4. because most competitors will have it

Answer: A

Explanation

The competitive advantage will be in terms of how the organization can be better than its competitors and in terms of quality systems, this could be in relation to better understanding customers.

3. The following definition, ‘the use of electronic communication networks to transact, process and collaborate in business markets’ is used for which term?

  1. social network marketing
  2. e-business
  3. e-marketing
  4. e-commerce

Answer: B

Explanation

E-business covers a wider range of activities than the other terms.

4. According to the text, what is the value of social media for businesses?

  1. greater potential to host video and use of telephone services over the internet
  2. greater security for e-commerce transactions
  3. faster connection speeds
  4. increase your ‘digital footprint’

Answer: D

Explanation

Web 2.0 enables far more user created media to be published and shared.

5. The value of the internet to marketers is that it ______.

  1. provides a new method of communicating with customers
  2. provides a new channel to the market place
  3. enables firms to offer new products and services
  4. provides a new channel to the market place  and enables firms to offer new products and services

Answer: D

Explanation

The internet can be used in a number of different ways and should not be thought of as just a distribution channel or method of promotion.

6. What does the concept of the ‘single view’ of a customer refer to?

  1. The single view refers to marketers reaching their customers using only one distribution channel.
  2. The single view refers to marketers communicating with their customers using only one communication medium.
  3. The single view gives priority to those customers using a particular mix of communication and distribution channels.
  4. The single view enables customers to communicate with the company just as effectively, regardless of whichever medium they use.

Answer: D

Explanation

The single view enables customers to communicate with the company just as effectively, regardless of whichever medium they use.

7. Managing information is not a key process in very ‘simple’ ventures.

  1. True
  2. False

Answer: B

8. Redesigning the supply chain is an important source of innovation.

  1. True
  2. False

Answer: A