For Now...

The following appeared in a memo from the customer service division to the manager of Mammom Savings and Loan:

“We believe that improved customer service is the best way for us to differentiate ourselves from competitors and attract new customers. We can offer our customers better service by reducing waiting time in teller lines from an average of six minutes to an average of three. By opening for business at 8:30 in stead of 9:00, and by remaining open for an additional hour beyond our current closing time, we will be better able to accommodate the busy schedules of our customers. These changes will enhance our bank’s image as the most customer-friendly bank in town and give us the edge over our competition.“

Discuss how well reasoned…etc.

The author of the memo concludes that improved customer service is the best way to differentiate the bank from other competitors and to give the bank the edge of over its competitors. To support his conclusion, the author states that the reducing waiting time in teller line and the image of customer-friendly of the bank are the key factors to attract customers; however, oversimplification makes the conclusion unsound.

First of all, it is important that the short waiting time in teller lines of a bank to save customers’ time, but to reduce the waiting time in teller lines, it could be inferred that the bank either sets more teller lines or cuts customers’ time that they query tellers.If a bank set too many teller lines, it would suffer the high cost of employees’ salary. Once a bank has fewer customers than it do before. Fewer profits can not support a bank, it would be bankrupt, let alone having the edge of competition. If a bank diminished it’s service time for each customer, customers might not get enough information of their question. A bank would ruin it’s own image, because it do not care about customers questions. Thus, customers would be attracted by other competitors who have better customers’ service. In the end, a bank loses its edge of competition.

In addition, the interest rate is the most attractive factor to customers. If a bank’s interest rate of loan were too high and of savings were too low, a bank would attract no customer. Because customers’ main purpose is save their money or borrow the money. A bank does not offer an attractive interest rate for customers; customers would be attracted by other competitors who offer better interest rate. In other words, the interest rate is a basic but essential element of a bank that wants to attract a lot of customers and defeats its competitors. It would be useless that a bank has the best image and service quality if the bank did not have a customer.

In summary, the argument is not logically convincing, because the author overlooks the truly important factors that attract customers and oversimplifies the bank’s operation. These flaws make the conclusion of the argument questionable.