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Two national firms, the Prestige Hotel and Pro Fitness chains, strive to deliver quality service to their customers. To do so, they address the four

Two national firms, the Prestige Hotel and Pro Fitness chains, strive to deliver quality service to their customers. To do so, they address the four core differences between services and goods. In the following scenario, you will be asked to categorize statements about the customer's experiences and the firm's marketing efforts by the core difference they represent.

Economies of developed countries like the United States have become increasingly dependent on services. For example, service industries like retail and information services account for about two-thirds of the U.S. gross domestic product (GDP) and the lion's share of U.S. jobs. The marketing of services differs from goods marketing because of the four fundamental ways in which services differ from goods: they are intangible, inseparable, variable, and perishable.

You will be shown eight statements describing customer experiences and marketing efforts. Read each statement when it appears, and categorize the item according to the difference between goods and services that it represents by placing the item in the correct box in the chart on the right.

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Conflicting experiences Hard to convey value Customer Experience Marketing 0 Conflicting experiences Managing staff Satisfaction guarantee Intangibility Inseparability Perishability Variability Satisfaction guarantee Hotel stay Off-peak rates Uses Flexipass Managing staff Uses Flexipass Hard to convey value Use guest pass Off-peak rates Hotel stay Use guest pass

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