Which of the following is true for businesses with above average customer value?
A)They need to spend more to acquire customers.
B)The cost of purchase equals performance benefits.
C)They produce higher levels of pre-tax return on investment.
D)The cost of purchase exceeds performance benefits.
E)They have great difficulty in retaining customers.

Question

Quizplus · Accepted Answer

Businesses with above average customer value are likely to have higher levels of repeat business and increased customer loyalty, leading to higher profits and pre-tax return on investment. This is because their customers are more likely to make repeat purchases and generate higher revenue over time, outweighing the higher cost of acquisition. Options A, B, D, and E are incorrect as they do not accurately describe businesses with above average customer value.

Which of the Following Is True for Businesses with Above