A true b false difficulty 2 questionid 10 3 202 page

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a True b False Difficulty: 2 QuestionID: 10-3-202 Page-Reference: 239 Skill: Knowledge Objective: 10.7 Answer: b. False Chapter 10 Short Answer Questions 1. What is the difference between production and operations ? Difficulty: 2 QuestionID: 10-4-203 Page-Reference: 221 Skill: Comprehension Objective: 10.1 Answer: The term production historically meant the making of physical goods. But consumers also purchase a wide variety of services. The term operations is now typically used to refer to the making of physical goods and the provision of services. 2. What is utility ? Difficulty: 2 QuestionID: 10-4-204 Page-Reference: 221 Skill: Comprehension Objective: 10.1 Answer: Utility is a product's ability to satisfy a human want. 3. List the four types of utility. Difficulty: 1 QuestionID: 10-4-205 Page-Reference: 221-222 Skill: Knowledge Objective: 10.1 Answer: The four types of utility are form, time, place, and ownership utility. 4. Identify the three qualities that distinguish services from goods.
Difficulty: 2 QuestionID: 10-4-206 Page-Reference: 223 Skill: Knowledge Objective: 10.2 Answer: Service qualities include intangibility (the service cannot be touched, tasted, or smelled), customization (the service is matched to the customer's specific needs), and unstorability (the service cannot be produced ahead of time and then stored). 5. Explain why services are typically characterized by a high degree of unstorability. Difficulty: 2 QuestionID: 10-4-207 Page-Reference: 223 Skill: Comprehension Objective: 10.2 Answer: Services usually can't be produced ahead of time and then stored for high-demand periods. If a service isn't used when available, it's usually wasted. 6. Give an example of a product that is produced through an analytic process . Difficulty: 2 QuestionID: 10-4-208 Page-Reference: 224 Skill: Comprehension Objective: 10.3 Answer: The text gives the example of whole chickens being processed into packaged parts. 7. Give an example of a product that is produced through a synthetic process . Difficulty: 2 QuestionID: 10-4-209 Page-Reference: 224 Skill: Comprehension Objective: 10.3 Answer: The text uses the example of the production of refrigerators. 8. What is operations capability? Difficulty: 2 QuestionID: 10-4-210 Page-Reference: 225 Skill: Comprehension Objective: 10.3
Answer: Operations capability refers to the activity or process that production does especially well. Each company's operations capability matches up with its business strategy so that the firm's activities, from top to bottom, are focused in a particular direction. For example, the operations capability of FedEx is dependability. 9. What is the difference between high-contact and low-contact services? Give an example of each. Difficulty: 2 QuestionID: 10-4-211 Page-Reference: 224 Skill: Comprehension Objective: 10.3 Answer: A high-contact service is one in which the service cannot be provided unless the customer is physically in the system (for example, hair salons, public transportation). A low-contact service is one in which the service can be provided without the customer being physically in the system (for example, lawn care, cheque processing).

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