Question detail
PeakPods serves online shoppers while training staff; the case evidence includes customer retention of ?9,255, sales of 915 units, and a 10% change in costs or demand. Which option best applies Explain benefits of good customer service, including customer satisfaction, loyalty, increased spend and profitability?
Try the question, check the answer, then read the explanation to understand the curriculum point.
At a glance
MCQ
Type
practice
Style
Topic
Good customer services
Question
- A. Use profitability, customer service, loyalty to judge gross profit margin, shareholders impact, and the business objective in Customer service methods and impacts.
- B. Give only a definition of Good customer services without using the case evidence.
- C. Treat internal and external finance as identical and ignore the effect on shareholders.
- D. Choose the largest sales figure without checking costs, finance, or context.
Answer
The correct option is: Use profitability, customer service, loyalty to judge gross profit margin, shareholders impact, and the business objective in Customer service methods and impacts.
Explanation
The answer is commercially strongest because Use profitability, customer service, loyalty to judge gross profit margin, shareholders impact, and the business objective in Customer service methods and impacts. The case evidence gives ?10,755, 915 units, and 10%, so the answer must explain the commercial effect rather than repeat a definition. The distractors are weaker because they confuse internal and external finance, miss the shareholders, or ignore the business objective.
Common mistake
Customer service methods and impacts common mistake 1
Giving a vague answer instead of directly addressing: Explain benefits of good customer service, including customer satisfaction, loyalty, increased spend and profitability..
Answer by clearly explaining how to explain benefits of good customer service, including customer satisfaction, loyalty, increased spend and profitability..
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