The Book CRM Unplugged: Releasing CRM's Strategic Value Details Three

question 48

Multiple Choice

The book CRM Unplugged: Releasing CRM's Strategic Value details three questions that companies should answer prior to implementing a customer service improvement initiative. Which of the following questions is not one of the three?

• A) What is the expected effect on the firm's profitability?
• B) What is the value being added and for which customers?
• C) At what cost to existing customer goodwill is this improvement being made?
• D) Does it strengthen or dilute the firm's competitive strategy?

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Definitions:

Investment Center

A business segment or unit within an organization that is responsible for its own revenues, expenses, and investments.

Department Manager

An individual responsible for overseeing the operations, budget, and personnel of a specific department within a company.

Revenues

The total income generated by a company from its business activities, such as the sale of goods or provision of services, before any expenses are deducted.

Profit Margin

A financial ratio that shows the percentage of revenue that exceeds the cost of goods sold, indicating the efficiency at which a company generates profit.