Calculate the Economic Value of a Loyal Customer for a Company

question 19

Essay

Calculate the economic value of a loyal customer for a company given that the customer purchases, on an average, worth $43worth per visit and comes three times a year. The company's gross profit margin is 35 per cent with a customer defection rate of 0.4.

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Definitions:

Japanese Americans

Individuals of Japanese ancestry living in the United States, including both immigrants from Japan and their American-born descendants, often highlighted in discussions of immigration, cultural integration, and civil rights.

Ethnic Origin

The background or heritage of a person or community, identified by a shared culture, language, and ancestry.

Los Angeles

A major city in California, known for its entertainment industry, diverse culture, and as a leading hub for technology and innovation.