MKC1200 Lecture Notes - Lecture 10: Marketing Mix
26 May 2018
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MKC1200 Week 10 - Services
Week 10 - Services
The Concept and Importance of Services
●Services: activities, performances or benefits that provide value and are offered for
sale, but which involve neither an exchange of tangible goods nor a transfer of title
○Normally intangible elements that satisfy a need
○Do not result in the ownership of anything
●Service-dominant economies
○70% of the national incomes of Australia and other service based economies –
○50% of the national incomes of emerging economies
○Over 60% of world GDP
○
Goods - Services Continuum
●Most products are a combination of tangible and intangible components
●A wide variety of services are provided using combinations of equipment and
people’s intellectual and physical efforts
●
○Products can be seen lying between ‘pure physical good’ and ‘pure service’
Classification of Products (Goods and Services) Based on Qualities
Used in Evaluation
●
Search Qualities
●Qualities that can be objectively evaluated prior to purchase based on tangible
features and easy to evaluate
Document Summary
Services : activities, performances or benefits that provide value and are offered for sale, but which involve neither an exchange of tangible goods nor a transfer of title. Normally intangible elements that satisfy a need. Do not result in the ownership of anything. 70% of the national incomes of australia and other service based economies . 50% of the national incomes of emerging economies. Most products are a combination of tangible and intangible components. A wide variety of services are provided using combinations of equipment and people"s intellectual and physical efforts. Products can be seen lying between pure physical good" and pure service". Classification of products (goods and services) based on qualities. Qualities that can be objectively evaluated prior to purchase based on tangible features and easy to evaluate. Qualities that are mostly likely to be evaluated during and after service delivery. Core components are intangible and are normally regarded as services.
