Briefly Describe the Four Major Categories of Customers in Business

question 13

Essay

Briefly describe the four major categories of customers in business marketing.Give examples of companies or organizations in each category.

---

Definitions:

Traceable Fixed Expenses

Fixed costs that can be directly linked to a specific product, service, or department.

Segment Margin

The amount of profit or loss generated by a specific segment of a business, considering only the revenues and expenses directly attributable to that segment.

Division's

A specific segment or branch of a company or organization that operates semi-independently or focuses on a particular task, product line, or service.

Variable Costing

An accounting method that includes only variable production costs (direct materials, direct labor, and variable manufacturing overhead) in the cost of goods sold and treats fixed manufacturing overhead as an expense of the period.