Mass consumption

Business

Question one

Mass consumption services are services consumed by wide or larger customers.  Examples of these mass consumption services include airline services and hairdressing or haircuts, airlines services including transporting passengers from one point to another. The customer therefore pays for the service of transporting the customers. Likewise, in air dressing or haircut, the hairdresser or the barber is paid for the services that he or she provides to the clients for either dressing the hair or shaving customers. Inseparability of consumption and production of services means that services are generated or produced and consumed at the same timeframe as they cannot be delivered and consumed by another customer simultaneously. Therefore, an example of how the inseparability of consumption and production of services makes moments of truth is when customers develop a certain perception or attitude about the services such as in the airlines services where a customer evaluates the service providers such as their efficiency of customer care services by comparing with those of other competitors. If the services offered do not meet the threshold then the customer seeks services of the competitors.

The basic functions of an effective distribution system in mature markets should be highly flexible and offer quick responses (Lebow, 2012). The system should be able to provide quick responses to the market situation to aid in decision-making. It should also meet the expectations of the customer by ensuring that the services or products offered are of high quality. The system should also promote innovativeness in the sense that, it should be receptive to new technologies and changes in the environment of doing business.

Question two

As online shopping across country borders becomes feasible and accepted, there are various demands on the countries’ distribution systems that need to be handled. One of the demands is to ensure that the products and services are of high quality standards (Lebow, 2012). Proper measures are required to ensure that all products and services are assessed before being accepted. Secondly the need to protect local industries should also be factored. The products or services from global markets should not be a threat to the local industries. Laws and regulations for doing business should also be adhered to. Such laws include tariffs, customs duties and taxes among others. The goods or services should be taxed at a certain rate to ensure that they do not result or give unfair competition to the local products.

Reference

Lebow, V. (2012). Our changing channels of distribution, Journal of Marketing, 13(1): 12-22.

Latest Assignments