Chapter 1

Question 1

Measuring customer satisfaction

Answer 1

• It should be a permanent, ongoing process
• Formal research surveys
• Analysis of customer complaint data or interviewing staff
• Collect information about customers’ needs from intermediaries – retailers, sales agents and wholesalers

Question 2

Marketing management philosophies:

Answer 2

• Production orientation
• Product Orientation
• Sales orientation
• Consumer orientation
• Societal marketing orientation
• Relationship marketing orientation

Question 3

Conditions of exchange:

Answer 3

• At least two parties (buyer and seller)
• Have something of value
• Be able to communicate and deliver
• Free to accept or reject
• Want to deal with other parties

Question 4

Benefits of CS:

Answer 4

• Lower acquisition cost
• Base profit
• Revenue growth
• Cost savings
• Referrals
• Price premium