Canada Post Argues That Its Express Service Is Comparable to That

question 21

Multiple Choice

Canada Post argues that its express service is comparable to that offered by FedEx and that its prices are much lower.Yet FedEx dominates with more than a 45 percent share of the express-delivery market.Which of the following statements most accurately describes this situation?

• A) Canada Post should lower its prices even further to increase market share.
• B) FedEx is perceived as offering greater customer value.
• C) Customer value is not an issue in deciding which express-delivery service to use.
• D) Canada Post is perceived as offering greater customer value.

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Definitions:

Advocacy

The act of speaking, writing, or acting in support of a cause, policy, or group of people, often aimed at influencing public-policy and resource allocation decisions.

Social Bonds

Connections among individuals or groups that foster trust, cooperation, and community, often based on shared values, interests, or experiences.

Customer Value

The perception of what a product or service is worth to a customer versus the cost of obtaining it, taking into consideration both tangible and intangible factors.

Lifetime Value Management

The practice of maximizing the revenue a company can earn from a customer over the entirety of their relationship with the company.