Which of the Following Is TRUE

question 1

Multiple Choice

Which of the following is TRUE?

• A) As customer loyalty increases, customers are more sensitive to price increases.
• B) Customer loyalty has a positive relationship with firm profitability.
• C) Customer loyalty is fragile and cannot reliably be considered a factor in firm success.
• D) Customer loyalty is of importance only to firms using the differentiation strategy.

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Definitions:

Bank Teller

An employee of a bank who deals directly with customers, handling withdrawals, deposits, and other transactions.

Order Fulfillment Center

A facility that specializes in receiving, processing, and shipping orders to end customers, acting as a crucial link in the supply chain.

Sorting Machine

A device used for separating items into categories or groups based on specified criteria.

Poisson Distribution

A statistical distribution that expresses the probability of a given number of events occurring in a fixed interval of time or space, assuming these events occur with a known constant rate and independently of the time since the last event.