Operations Management
Operations Management
17th Edition
ISBN: 9781259142208
Author: CACHON, Gérard, Terwiesch, Christian
Publisher: Mcgraw-hill Education,
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Chapter 1, Problem 4PA
Summary Introduction

To determine: The dimension of the customer utility function.

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Ling is the customer service manager at Sakuro, a new departmental store stocking Japanese products. Customer service is integral to the Japanese way of doing business and Ling is responsible for ensuring that the five basic needs of customers are met through their service offering. If Ling decides to create a toll-free number to assist customers, which one of the following needs would Ling be meeting? Select one: Oa. Service O b. Quality C. Action d. Appreciation
Prybloxx primarily uses one courier company, AJAX Couriers, for all their deliveries. In some circumstances, where AJAX is too busy and does not have capacity to fulfil deliveries or they do not cover certain areas, only then will Prybloxx make use of a different courier company. Prybloxx has recently had a significant influx of customer complaints regarding goods that have not been delivered, delivered long after the agreed delivery time or damaged once they arrive at the customer. Prybloxx is aware of the effect that this could have on demand for their product, customer goodwill and are now investigating insourcing the delivery of their product to customers. Prybloxx has noted that they have two alternatives in insourcing this department – they can either purchase a local courier company that is considered a going concern or they can purchase all of the required assets and set up such a department themselves. Mr. Pranoto (production manager) has requested that you prepare a report…
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