The Process of Estimating How Much a Customer Spends Per

question 16

Multiple Choice

The process of estimating how much a customer spends per purchase, how often s/he buys from the company, and how long the company can expect the customer to continue to buy is used to estimate the:

• A) customer attractiveness index.
• B) customer marketability value.
• C) customer lifetime value.
• D) customer preference quotient.
• E) none of the above

---

Definitions:

Acquired Firm

A company that has been purchased and absorbed by another entity.

Going-Private Transaction

A process in which a publicly traded company is transformed into a privately held entity, often through a buyout from private investors.

Bidding Firm

A company that proposes a financial offer in an attempt to acquire another company or win a contract.

Board of Directors

A group of individuals elected by the shareholders of a corporation to oversee the management and make major decisions affecting the company's policies and strategies.