AmazonCom,a Successful Online Retailer,manages an Extensive Customer Database That Is

question 89

Multiple Choice

Amazon.com,a successful online retailer,manages an extensive customer database that is used to determine which products are suggested to each customer.Some data are best collected from the customer; other data are best collected from the businesses where purchases are made.Which of the following customer data are best collected by Amazon itself?

• A) lifestyles
• B) price
• C) demographics
• D) media use
• E) competitive products purchased

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Definitions:

Operations

Refers to the day-to-day activities involved in running a business that lead to the production of goods and provision of services.

Variable Costing

A costing method that includes only variable manufacturing costs—direct materials, direct labor, and variable manufacturing overhead—in product costs.

Absorption Costing

A bookkeeping technique that encases the entirety of manufacturing expenses such as direct materials, direct labor, along with both variable and fixed overhead costs, in the product’s cost.

Divisional Segment Margin

A measure of the profitability of a specific division or segment within a company, usually calculated as the division's earnings before interest and taxes divided by its revenues.