Customers making large contributions to the profitability of the company should ________.
A) be treated the same as other customers because all customers are important
B) receive a higher level of attention from the company than less profitable customers
C) be charged higher prices for the same products than less profitable customers
D) not be offered the volume-based price discounts offered to less profitable customers

Question

Quizplus · Accepted Answer

Customers making large contributions to the profitability of the company should receive a higher level of attention from the company than less profitable customers. This will help retain these customers and maintain their loyalty, leading to sustained profits for the company. Treating all customers the same (option A) may lead to neglecting high-profit customers, which can be detrimental to the company in the long run. Charging higher prices (option C) or not offering volume-based price discounts (option D) may also alienate high-profit customers and lead to loss of business.

Customers Making Large Contributions to the Profitability of the Company