The Zone of Defection Is Where Satisfied Customers Reside When

question 82

True/False

The zone of defection is where satisfied customers reside when they are not really thrilled with the service provided.This leads them to not be committed to the company and they defect.

---

Definitions:

Production Inefficiency

A situation where a firm or economy is not producing at the lowest possible cost or maximally utilizing its resources, leading to waste or lost potential output.

Opportunity Cost

Sacrificing potential opportunities from a range of alternatives by settling on one.

Present Consumption

The portion of current income or resources that is used for consumption, rather than saving or investing.

Capital

Resources or assets used in the production of goods and services, such as machinery, buildings, and equipment.