... characteristics of a service are as follows: * Intangibility - This means that * services cannot be seen, tasted, felt, heard, or smelt before they are purchased. Buyers therefore look for tangible evidence that will provide information and confidence about the service. * Inseparability - This means that both c * ustomer-contact employees or service providers as well as the * customers are part of the product. Therefore customers and employees must understand the service delivery system. * Variability - This means services are highly variable because they are produced and consumed at the same time. Fluctuating demand makes it difficult to deliver consistent quality during periods of peak demand. Lack of consistency is therefore a major source of customer disappointment. * Perishability - This means that services cannot be stored or inventoried. Capacity and demand must be managed since unsold inventory cannot be carried forward. Quality is therefore needed in the provision of ...

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