MKTG470_Chapter 15

MKTG470_Chapter 15 - Chapter15:ServiceLeadership 1.

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Chapter 15: Service Leadership 1. Customer loyalty drives profitability and growth 2. Customer satisfaction drives customer loyalty 3. Value drives customer satisfaction 4. Service quality and productivity drive value 5. Employee loyalty drives quality and productivity  6. Employee satisfaction drives employee loyalty 7. Internal quality drives employee satisfaction 8. Top management leadership underlies chain’s  success
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Interdependence Among  Functions Marketing Management Target  right  customers and build relationships Offer solutions that meet their needs Define quality package with competitive advantage Operations Management Create and deliver specified service to target customers Adhere to consistent quality standards Achieve high productivity to ensure acceptable costs Human Resource Management Recruit and retain the best employees for each job  Train and motivate them to work well together Achieve both productivity and customer satisfaction
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Service Losers Role of Marketing No advertising/promotional focus, no involvement in product or  pricing Competition Customers patronize them because there is no viable  alternative Service Quality High variation, unsatisfactory, controlled by operations Role of Operations Reactive, cost oriented Service Delivery Necessary evil, unrelated to customer preferences, customers  often ignored Productivity Undefined, punishments for failing to keep to a budget, new 
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MKTG470_Chapter 15 - Chapter15:ServiceLeadership 1.

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