Ford Motor Company Has Set a Target of Increasing Customer

question 188

Multiple Choice

Ford Motor Company has set a target of increasing customer retention from 60 percent to 80 percent.Ford executives say that each additional percentage point is worth __________ in profits.

• A)$100,000
• B)$1 million
• C)$10 million
• D)$100 million
• E)$1 billion

---

Definitions:

Pricing Constraint

Factors that limit the flexibility in setting prices for products or services, including costs, competition, market demand, and regulatory requirements.

Economies of Scale

Cost advantages reaped by companies when production becomes efficient, as the scale of the operation grows.

Product's Life Cycle

The progression of a product through several stages including introduction, growth, maturity, and decline, affecting marketing strategies and management decisions.

Nostalgia

A sentimental longing or wistful affection for the past, typically for a period or place with happy personal associations.