24. The customer-service division of Mammon Savings and Loan recommends that
0 E9 H6 q- v: M4 d$ w: d, Fthe best way for the bank to attract new customers and differentiate itself from its
# ^" v9 R* m& |0 d4 h T2 wcompetitors is to improve its service to customers—specifically, by reducing waiting & t7 U6 n1 G3 P; d |, L
time in teller lines, opening for business 30 minutes earlier, and closing an hour later. + b* ], B) O! M4 d( Y/ C
These improvements, it is argued, will give the bank the edge over its competitors and
, [( S+ [- O2 r( Y$ B4 G$ i0 ?! X) bmake it appear more customer-friendly. For the most part this recommendation is 3 p9 r' L* F9 B& C) e) l
well-reasoned; a few concerns must be addressed, however., R9 f1 v; w0 W' }- Q2 S. R& _7 h/ P
First, the author assumes that Mammon's competitors are similar to Mammon in
7 R4 `6 A) i8 Zall respects other than the ones listed. In fact, Mammon's competitors may be more 1 F7 y" ^# g! |4 }
conveniently located to customers, or offer other services or products on more attractive / Y) o) x4 p. `; X1 O5 k
terms than Mammon. If so, Mammon may not gain the edge it seeks merely by
" V* V! M5 V) G* o0 F1 renhancing certain services.
7 F/ k) o8 S2 W7 Y* m Secondly, the author assumes that the proposed improvements will sufficiently ! ?( [0 M! n& d: y2 p5 K4 y
distinguish Mammon from its competitors. This is not necessarily the case. Mammon's
! S, d" q7 u- q, d0 ]4 J9 a# {9 fcompetitors may already offer, or may plan to offer, essentially the same customer-6 T) p) M" t$ g4 r
service features as those Mammon proposes for itself. If so, Mammon may not gain the
4 }3 M8 q3 a# w; |- M, P0 fedge it seeks merely by enhancing these services.
; x* N: _# D4 y, U Thirdly, the author assumes that Mammon can offer these improved services
- v5 a9 p. F3 L) R( o& ?7 wwithout sacrificing any other current features that attract customers, in fact, Mammon r8 Z, R7 `( ^2 o) ^# Y8 v6 ?- g5 M
may have to cut back other services or offer accounts on less attractive terms, all to
) b1 u3 m- ~5 ycompensate for the additional costs associated with the proposed improvements. By $ O5 c! ?* g. |' y+ L
rendering its other features less attractive to customers, Mammon may not attain the ' H& Q7 K* _. t. n+ s# Z/ q
competitive edge it seeks.1 p6 A) Q/ N3 V
In conclusion, Mammon's plan for attracting new customers and differentiating # O3 I% E2 Z' U, b
itself from its competitors is only modestly convincing. While improvements in
3 Y- u+ e8 [) J; ?customer service generally tend to enhance competitiveness, it is questionable whether
+ W9 o+ X8 ?4 mthe specific improvements advocated in the recommendation are broad enough to be
4 J" N6 Z4 L- x' \6 }" Heffective. |