MISY 5380 CORRECT FINALS ANSWERS AND
QUESTIONS SET A+
✔✔Data mining has many benefits, but the ability to create new differentiation strategies
is not one of them. - ✔✔FALSE
✔✔Data mining usually accesses a ________ for its source of information. - ✔✔Data
mart
✔✔Decision trees are structured like a tree, where leaves represent classifications and
branches represent conjunctions of features that lead to these classifications. -
✔✔TRUE
✔✔Fuzzy logic is not a data mining method. - ✔✔FALSE
✔✔Most data mining efforts use a data mart as their source for data and information. -
✔✔TRUE
✔✔Organizations in the financial services industry are very proficient in data mining
techniques. - ✔✔TRUE
✔✔Regression analysis and correlation are statistic methods that can be used as part
of a data mining process. - ✔✔TRUE
✔✔A simple but effective way to measure customer satisfaction is to - ✔✔ask
consumers if the product or service was above, below, or about what was expected.
✔✔A specific aspect of service, or a single behavior or characteristic of the service or
product, which is used to measure service quality, is referred to as - ✔✔critical incident
analysis.
✔✔An acquisition/defection matrix indicates - ✔✔who a company is losing their
customers to and gaining them from.
, ✔✔As companies lose customers, their customer satisfaction scores fall. - ✔✔FALSE
✔✔Company "3E" CRM effectiveness measures consist of company efficiency,
effectiveness and employee behavior. - ✔✔TRUE
✔✔Company 3E measures of CRM effectiveness include - ✔✔employee behavior.
✔✔Company 3E measures would NOT include which of the following? - ✔✔all are 3E
measures
✔✔Critical incident analysis - ✔✔is built upon specific items or a single behavior.
✔✔Customer equity can be defined as the sum of CLVs of all the company's individual
customers less company expenditures discounted to a net present value. - ✔✔TRUE
✔✔Defection curves - ✔✔depict the relationship between company profits and changes
in customer defection rates.
✔✔Different effectiveness measures are needed for company CRM efforts focusing on
acquiring new customers than efforts focusing on cross-selling and up-selling to current
customers. - ✔✔TRUE
✔✔The drivers of relationship equity are - ✔✔loyalty and commitment.
✔✔The maintenance ratio is the cost involved in maintaining customer relationships
divided by total CRM expenditures. - ✔✔FALSE
✔✔The survival rate is the number of customers remaining between the formation of a
cohort and any point in time afterward. - ✔✔TRUE
✔✔Useful measures of customer acquisition do NOT include which of the following? -
✔✔share of category
✔✔The drivers of value equity are - ✔✔price, quality, and convenience.
✔✔Customer Equity is the CLV - ✔✔of all the company's customers less company
expenditures discounted to a net present value.
✔✔____ is unsolicited "junk" e-mail containing advertising or promotional messages
sent to large numbers of people - ✔✔Spam
✔✔______ is an example of a privacy seal program. - ✔✔BBBOnline
QUESTIONS SET A+
✔✔Data mining has many benefits, but the ability to create new differentiation strategies
is not one of them. - ✔✔FALSE
✔✔Data mining usually accesses a ________ for its source of information. - ✔✔Data
mart
✔✔Decision trees are structured like a tree, where leaves represent classifications and
branches represent conjunctions of features that lead to these classifications. -
✔✔TRUE
✔✔Fuzzy logic is not a data mining method. - ✔✔FALSE
✔✔Most data mining efforts use a data mart as their source for data and information. -
✔✔TRUE
✔✔Organizations in the financial services industry are very proficient in data mining
techniques. - ✔✔TRUE
✔✔Regression analysis and correlation are statistic methods that can be used as part
of a data mining process. - ✔✔TRUE
✔✔A simple but effective way to measure customer satisfaction is to - ✔✔ask
consumers if the product or service was above, below, or about what was expected.
✔✔A specific aspect of service, or a single behavior or characteristic of the service or
product, which is used to measure service quality, is referred to as - ✔✔critical incident
analysis.
✔✔An acquisition/defection matrix indicates - ✔✔who a company is losing their
customers to and gaining them from.
, ✔✔As companies lose customers, their customer satisfaction scores fall. - ✔✔FALSE
✔✔Company "3E" CRM effectiveness measures consist of company efficiency,
effectiveness and employee behavior. - ✔✔TRUE
✔✔Company 3E measures of CRM effectiveness include - ✔✔employee behavior.
✔✔Company 3E measures would NOT include which of the following? - ✔✔all are 3E
measures
✔✔Critical incident analysis - ✔✔is built upon specific items or a single behavior.
✔✔Customer equity can be defined as the sum of CLVs of all the company's individual
customers less company expenditures discounted to a net present value. - ✔✔TRUE
✔✔Defection curves - ✔✔depict the relationship between company profits and changes
in customer defection rates.
✔✔Different effectiveness measures are needed for company CRM efforts focusing on
acquiring new customers than efforts focusing on cross-selling and up-selling to current
customers. - ✔✔TRUE
✔✔The drivers of relationship equity are - ✔✔loyalty and commitment.
✔✔The maintenance ratio is the cost involved in maintaining customer relationships
divided by total CRM expenditures. - ✔✔FALSE
✔✔The survival rate is the number of customers remaining between the formation of a
cohort and any point in time afterward. - ✔✔TRUE
✔✔Useful measures of customer acquisition do NOT include which of the following? -
✔✔share of category
✔✔The drivers of value equity are - ✔✔price, quality, and convenience.
✔✔Customer Equity is the CLV - ✔✔of all the company's customers less company
expenditures discounted to a net present value.
✔✔____ is unsolicited "junk" e-mail containing advertising or promotional messages
sent to large numbers of people - ✔✔Spam
✔✔______ is an example of a privacy seal program. - ✔✔BBBOnline
