Customer Loyalty Programs Such as Airline Frequent Flyer Miles Are

question 126

Multiple Choice

Customer loyalty programs such as airline frequent flyer miles are an attempt to:

• A) decrease competitors' access to distribution channels.
• B) develop a cost advantage independent of scale.
• C) increase customers' switching costs.
• D) overcome the perishability of the hotel "product."

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Definitions:

Able-Bodied Person

An individual who is physically capable of working or performing daily tasks without assistance.

Negative Income Tax

Cash payments by the government to the poor—an income tax in reverse. The cash payments decrease as income levels increase.

Unemployment Rate

The percentage of the labor force that is jobless and actively looking for employment.

Poverty Rate

The percentage of the population that lives below the national poverty line, reflecting the portion of the community considered to be living in financial hardship.