Grant and Schlesinger suggest analysing gaps between actual and potential profitability by considering:
A)current versus potential market share
B)current purchasing behaviour of customers in each target segment
C)impact if each consumer exhibited ideal behaviour (paid full price)
D)the length of time customers remain with the firm
E)all of the above

Question

Quizplus · Accepted Answer

The best approach to analyze gaps between actual and potential profitability is to consider all of the above factors. Current versus potential market share, current purchasing behavior of customers in each target segment, impact if each consumer exhibited ideal behavior (paid full price), and the length of time customers remain with the firm are all important factors that can help identify where the gaps in profitability exist and how they can be addressed. Only when all of these factors are considered together can a comprehensive assessment of the firm's profitability potential be made.

Grant and Schlesinger Suggest Analysing Gaps Between Actual and Potential