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Consider a company that serves three different market segments (for simplicity, assume the segments are of equal size). To better understand how well the
Consider a company that serves three different market segments (for simplicity, assume the segments are of equal size). To better understand how well the company is serving each segment, it commissioned a study of current customers' expectations and perceptions of the company's performance. Specifically, consumers were asked what they expected to receive when paying for the services delivered by this type of company. They were also asked how well the company had performed in delivering these services. Participants in the study reported their performance expectations and perceptions on 10-point response scales where higher numbers reflect greater expectations and more favorable perceptions of the company's performance. Summarized below are the average ratings by market segment: Segment Expectations Perceived Performance A B C 9.2 9.0 8.4 8.8 9.0 8.8 Segment A O Segment B O Segment C O Segments A and C should engage in the same amount of unfavorable word-of-mouth communication and more than Segment B. It is not possible to determine this without more information. C P E 2
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