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Economic Benefits of Customer Loyalty Often Explain Why One Firm

Question 9

Multiple Choice

Economic benefits of customer loyalty often explain why one firm is more profitable than a competitor.However, profitable revenue streams are unlikely to apply equally in all industries.Long-term customer value is less likely to be significant when:


A) there are low margins on sale
B) there are high margins of sale
C) high marketing costs are required to obtain a new customer
D) there is a high sales volume per customer
E) there is a high word of mouth referral

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