When Toronto-Based Fairmont Resort Hotels Used Data Mining to Find

question 4

Multiple Choice

When Toronto-based Fairmont Resort Hotels used data mining to find out what kinds of vacations their customers preferred, and then placed ads where they were more likely to reach those customers, this was an example of

• A) consumer relationship management.
• B) product differentiation.
• C) data warehousing.
• D) aggregate marketing.
• E) industrial marketing.

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Definitions:

Required Reserve Ratio

The fraction of depositors' balances that banks must have on hand as cash, determined by the central bank to ensure the bank's liquidity and stability.

Federal Funds Rate

The interest rate at which depository institutions trade federal funds (balances held at Federal Reserve Banks) with each other overnight.

Inflation Rate

The percentage change in the price level of goods and services in an economy over a given period of time.

Prime Interest Rate

The interest rate that commercial banks charge their most creditworthy customers, often used as a benchmark in lending rates.