When Johnson Controls reached beyond its climate control equipment and components business to manage integrated facilities by offering products and services that optimize energy use, it was said to be providing ________.

When Johnson Controls reached beyond its climate control equipment and components business to manage integrated facilities by offering products and services that optimize energy use, it was said to be providing ________.

A) facilitating services
B) a primary service package
C) value-augmenting services
D) service contracts
E) service warranties


Answer: C

Expensive equipment manufacturers not only install the equipment but also train the staff and undertake the maintenance and repair activities of the equipment. By doing so, they are providing ________.

Expensive equipment manufacturers not only install the equipment but also train the staff and undertake the maintenance and repair activities of the equipment. By doing so, they are providing ________.

A) payment equity
B) value-augmenting services
C) differential pricing
D) facilitating services
E) a primary service package


Answer: D

The product's purchase cost plus the discounted cost of maintenance and repair less the discounted salvage value gives the ________.

The product's purchase cost plus the discounted cost of maintenance and repair less the discounted salvage value gives the ________.

A) service warranty cost
B) out-of-pocket cost
C) life-cycle cost
D) facilitating services cost
E) value-augmentation cost


Answer: C

Regular maintenance and repair costs are known as ________.

Regular maintenance and repair costs are known as ________.

A) service contract costs
B) out-of-pocket costs
C) fixed costs
D) facilitating services costs
E) value-augmentation costs


Answer: B

A ________ refers to any place at which a company seeks to manage a relationship with a customer, whether through people, technology, or some combination of the two.

A ________ refers to any place at which a company seeks to manage a relationship with a customer, whether through people, technology, or some combination of the two.

A) customer-service interface
B) product-customer interface
C) tangible user interface
D) attentive user interface
E) crossing-based interface


Answer: A

When customers calculate the perceived economic benefits of a continuously provided service in relationship to the economic costs, they are gauging the ________.

When customers calculate the perceived economic benefits of a continuously provided service in relationship to the economic costs, they are gauging the ________.

A) private equity
B) brand equity
C) payment equity
D) customer-service equity
E) product-service equity


Answer: C