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The Wal-Mart effect is best described by which of the following?


A) As large retailers locate in communities, the put smaller companies our of business
B) Information technologies have allowed large retailers to maintain good productivity growth rates
C) Wal-Mart's use of supplier capacity has made it difficult for other companies to find Suppliers
D) The growth of large retailers has had a negative impact on the environment

E) A) and C)
F) B) and C)

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Assuming the number of arrivals per time period is Poisson distributed with a mean arrival rate of 6 customers per hour, determine the mean interarrival time.


A) 10 minutes
B) 6 minutes
C) 60 minutes
D) 14 minutes

E) None of the above
F) All of the above

Correct Answer

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David Maister's First Rule of Service is:


A) It always takes longer than you think to perform the service
B) You can't please all the customers all the time
C) Satisfaction = perception expectation
D) Under-promise and over-deliver

E) B) and C)
F) A) and D)

Correct Answer

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The number of customers per day an organization's service delivery systems are designed to serve within a certain time frame is referred to as:


A) Service Capacity
B) Capacity Utilization
C) Productivity Potential
D) Service Throughput

E) All of the above
F) A) and B)

Correct Answer

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Which of the following is an example of a person that would be considered to provide a Pure Service?


A) Attorney/Lawyer
B) Management Consultant
C) Musical Entertainer
D) All of these

E) B) and C)
F) B) and D)

Correct Answer

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In a franchise, the franchisee invests some of their own money, while paying a percentage of sales to the franchiser.

A) True
B) False

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A retailer with two checkout stands is an example of a single-channel, multiple-phase queuing system.

A) True
B) False

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