Firms Such as Ford and Frito-Lay Have Learned Which of the Following

question 137

Multiple Choice

Firms such as Ford and Frito-Lay have learned which of the following marketing lessons?

• A)It is a lot easier to find new customers than to retain existing ones.
• B)According to research,it is equally costly to acquire new customers and retain existing ones.
• C)Existing customers do not spend as much as new customers since the former like the old products rather than the new ones new customers like.
• D)The buying experience,customer satisfaction,and customer retention can increase a firm's profits.
• E)Unless a marketing promotion to retain customer loyalty can increase market share by at least 5 percent,it is not worth the expenditure.

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Definitions:

Liabilities

Economic obligations or debts owed by a business to others, typically arising in the course of its operations.

Economic Benefits

Benefits that can be quantified in monetary terms and usually include profits, revenues, and savings.

Future Cash Inflows

Expected receipts of cash in the future from investments, operations, or financing activities.