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ms Question 1 What is the most likely core business of STA Travel? Based on the degree of tangible actions and nature of recipient of the service classification
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Submitted by ileen on November 14, 2007
Category: Business
Words: 2624 | Pages: 11
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Question 1
What is the most likely core business of STA Travel? Based on the degree of tangible actions and nature of recipient of the service classification scheme, to which category would you place STA Travel¡¯s core business? Discuss the marketing and managerial challenges for services found under this category of the abovementioned service classification scheme.
The most likely core business of STA travel is tourism. Due to different levels of customer involvement service processes had categorised into four parts which are tangible action to people¡¯s bodies (people processing), tangible actions to goods and other physical possessions (possession processing), intangible actions directed at people¡¯s minds (mental-stimulus processing) and intangible actions directed at intangible assets (information processing).
People processing is which customers need to be physically appear during the whole service delivery in order to gain the benefits of the services. It involves a high contact with the customer. Possession processing requires processing must be present, but the customer no need to be on the spot. Mental-stimulus processing need customers to be present mentally but can be at anywhere with connected by broadcast signal or telecommunication links. Information processing no need to have direct involvement with the customer once the request for the service has been start.
STA travel provides holiday travel trips to place all over the world. They provide the service to let customer enjoy the travel, have fun with friends and family and also having good experiences. Therefore, STA travel is fall under the intangible actions directed at people¡¯s minds (mental-stimulus processing) because there is no tangible product on it.
Due to this intangibility and directed the people's mind this will have some implicating the marketing and managerial challenge. I will discuss about 5Ps which are product, price,...
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