It is possible for a company to have profitable products and, at the same time, incur customer-related costs that make certain customer relationships unprofitable.

Question

Quizplus · Accepted Answer

While a company may have profitable products, the costs associated with acquiring, servicing, and retaining certain customers (such as marketing, support, and distribution costs) can exceed the revenue generated from those customers, making those specific customer relationships unprofitable.

It Is Possible for a Company to Have Profitable Products