Customer Relationship Management Is an On-Going Process and Works Best

question 40

Multiple Choice

Customer relationship management is an on-going process and works best when the company does what?

• A)focuses primarily on being the low-cost seller in a competitive market
• B)limits its efforts to a select few customers who are major purchasers
• C)combines marketing communication with one-on-one personalization
• D)uses mass production techniques and needs to have a guaranteed market for large quantities of its goods

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Definitions:

Profit-Maximizing Rule

The principle that firms maximize profit by producing at the level where marginal revenue equals marginal cost.

MC = MR

A condition where a firm's marginal cost (MC) of producing an additional unit is equal to its marginal revenue (MR) from selling that unit, often used to determine the profit-maximizing level of production.

Costs Of Production

Costs of production refer to the total expenses incurred in the manufacturing of a product, including raw materials, labor, and overhead.

Marginal Revenue

The additional income received from selling one more unit of a product or service.