An Important Link Exists Between Customer Satisfaction and Customer Loyalty

question 11

True/False

An important link exists between customer satisfaction and customer loyalty to a brand.

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Definitions:

M&M II

Modigliani and Miller Proposition II; a theory on capital structure, which states that the value of a firm is independent of its capital structure, under certain assumptions.

Unlevered Cost

It refers to an investment's cost or return that does not consider the effects of borrowing or leverage.

Targeted Cost

A cost management strategy where a product's planned profit and required cost are computed by considering the competitive market price.

Debt-Equity Ratio

This ratio measures the balance between financing a company's assets with equity compared to debt.