Captive Customers Differ from Unprofitable Customers in That Captive Customers

question 54

Multiple Choice

Captive customers differ from unprofitable customers in that captive customers ________.

• A)are the result of mismanaged customer selection
• B)are simply "big spenders"
• C)are a drain on a business's profits because the cost of acquiring them can never be recovered
• D)have a low desire to repurchase but are unable to move easily to another company's product
• E)produce a referral value that is over three times their customer lifetime value

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Definitions:

Lobbying

The act of attempting to influence the decisions made by officials in a government, most often legislators or members of regulatory agencies.

Politics

The activities, actions, and policies that are used to gain and hold power in a government or to influence decision-making in an organization.

Public Influence

The impact individuals or groups can have on public opinion, policy, or societal norms through various means of communication or action.

Full-Time Employees

Full-time employees are individuals employed by an organization who work a minimum number of hours defined by their employer, typically with benefits and job security.