Firms have decided to raise fees and lower service to those customers who barely pay their way and to coddle big spenders to retain their patronage as long as possible,an example of organizing customers by ________.

Question

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This scenario describes organizing customers by profit tiers. The firms are categorizing customers based on their profitability and adjusting service and fees accordingly. This approach is commonly used in businesses to prioritize high-profit customers and incentivize lower-profit customers to increase their spending.

Firms Have Decided to Raise Fees and Lower Service to Those