Providing Customer Service Is an Expense to a Retailer

question 105

Multiple Choice

Providing customer service is an expense to a retailer.What benefit does the retailer receive from incurring the expenses involved in providing good customer service?

• A) Attracts new customers
• B) Generates positive word-of-mouth communication
• C) Reduces costs
• D) Current customers return to the store
• E) Does all of these

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Definitions:

Production Possibilities Curve

A graphical representation showing the maximum combination of goods and services that can be produced with limited resources.

Production Possibilities Curve

A graph that shows the different quantities of two goods that an economy can produce using all its resources efficiently.

Unemployment Rate

The segment of workers within the labor force not employed but searching for work.

Assembly Line

A production process that divides the manufacture of a product into steps that are completed in a predefined sequence, often involving conveyor belts and workstations.