Which of the Following Gains the Most Benefit from Introducing

question 42

Multiple Choice

Which of the following gains the most benefit from introducing a frequency program?

• A) the first company to introduce a frequency program in an industry
• B) the fast follower, the second to introduce a program in an industry
• C) the industry sales leader
• D) the niche player in the industry
• E) the low-cost leader in the industry

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Definitions:

Deposit Today

An action where money is placed into a bank account or investment at the current date.

Investment Return

The profit or loss on an investment over a specified period, represented as a percentage of the investment's initial cost.

Present Values

The worth of a future amount of money today, calculated by discounting future cash flows at a specific interest rate.

Annuities

Savings vehicles that deliver scheduled payouts, commonly utilized for building retirement reserves.