Question 1
- What is aftersales service?
- State four benefits of customer service.
- State five advantages of shareholding
Observation
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Comments
- Candidates’ performance was okay.
- Part (b) of the question was fairly attempted by the candidates.
- Part (c) of the questions was well-attempted.
(a) Aftersales service is a service provided to customers after goods have been purchased in the form of home delivery, installation and maintenance.
(b) Benefits of customer service- It is used as a competitive tool by an organization;
- It is used as extra attraction for customers to patronize the product;
- It creates goodwill and good public image for the organization;
- It is associated with giving of warranty in the form of repairs;
- It helps to resolve customer’s complaints;
- It promotes customer’s loyalty;
- It helps to encourage customer recommendation;
- It leads to increase in profit;
- It helps to build customer’s confidence in the organization;
- It improves employees’ morale; and
- It can reduce costs for the organization;
- It promotes customer conversion.
(c) Advantages of shareholding- It attracts dividends;
- It enjoys bonus shares;
- It attracts right issues;
- It attracts right issues;
- It permits attendance and voting at meetings;
- Share certificates can be used as collateral for loans;
- Liability is limited to investment in the shares;
- There is opportunity for capital gain;
- It helps to spread or reduce risk;
- It helps to encourage savings;
- There is liquidity benefit for the holders;
- There is transferability benefit to the holders;
- It creates prestige for the holders; and
- It helps in retirement planning.