Examples of Serve (Manufacturing Company) Costs

Example 1:

In 1981,General Electric created the GE Answer Center to service end users who had questions or problems with any General Electric product. (
Year 1992-SIC 3630)

Explanation: The GE Answer Center was a

Serve Cost for General Electric in its relationship with Final customers.

Example 2:

Pizza Hut improved sales by concentrating on service and quality of product. The Company started a customer satisfaction measurement system and a new training program to upgrade skills of all restaurant employees. (
Year 1995-SIC 5812 )

Explanation: The customer satisfaction measurement system and the new training program for all restaurant employees are part of the company's Serve Costs to help customers resolve problems with the product.

Example 3:

MBNA America is offering its platinum card with customer service representatives available 24 hours a day, 365 days a year. They will respond to credit line increase requests in 15 minutes or less, and will work diligently to resolve disputes with merchants. (
Year 1996-SIC 6141)

Explanation: MBNA has increased its spending on its Serve Costs to help its customers obtain prompt assistance with problems.

Example 4:

At the Omni Park Central Hotel, when a customer line exceeds six people, assistant managers are dispatched to the hotel restaurant to bring out orange and grapefruit juice to serve the people in line. (
Year 1990-SIC 7011)

Explanation: The hotel's spending on people to serve juice to guests waiting in line is a Serve Cost to help their guests feel better about the problem of a long line.