1 Three types of pricing strategies

1. Cost-based pricing
2. Competition based pricing
3. Demand based pricing
2 MAJOR BENEFITS OF SERVICE SECTOR
To provide largest no. of jobs
Least affected by recession & highly stable
Potential for global trade in services with the implementation of WTO
3 Significance of Service Marketing
Intensive competition
Growing consumer awareness
Increasing specialization (hospitals, hotels)
Market sophistication
Technology
4 What is pricing
Pricing is customers perception of the value of the product.
5 Markets and Industries: Whats The Difference
A market is composed of individuals and organizations who:
Are interested in and willing to buy a good or service to obtain benefits that will satisfy a particular need or
Who want and have the resources to engage in such a transaction.
An industry is a group of firms that offer a product or class of products that are similar and are close substitutes for
one another.
6 What is the Three Levels of Strategy: Similar Components, but Different Issues?
Corporate strategy
7 Decisions about the firms scope and resource deployments across its businesses are the primary focus of corporate strategy
Business-level strategy
A major issue in a business strategy is that of sustainable competitive advantage.
It must address appropriate scope.
Synergy should be sought across product-markets and across functional departments within the business.
Marketing strategy
The primary focus is to effectively allocate and coordinate marketing resources and activities to accomplish
the firms objectives within a specific product-market.
International Marketing of Services
Services
The extended marketing mix for services
Elements of service
People
Processes
Physical evidence
8 Define production operations management in your own words. Will your definition accommodate both manufacturing and
service operations
Productions/operations management can be defined as the management of all activities directly related to the creation of
goods and/or services through the transformation of inputs into output.
9 The marketing, operations, and finance accounting functions can be outlined . Prepare a chart outlining the same functions
for:
a large metropolitan newspaper
b) a local drugstore
c) a college library
d) a local service organization (Boy Scouts, Girl Scouts, Rotary International, Lions, Grange etc.)
e) a doctor's or dentist's office
f) a jewelry factory
10 What is the difference between production and operations?
We tend to use the term "Production management" when the result is a physical product, and "operations management" when
the output is a ''service".