Managers find customer-profitability analysis useful because it frequently highlights how vital a small set of customers is to total profitability.

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Customer-profitability analysis helps managers identify which customers are generating the most profit for the company. Often, a small set of high-profit customers can account for a significant portion of total profitability. Identifying and prioritizing these key customers can help managers focus their resources and strategies for maximum impact.

Managers Find Customer-Profitability Analysis Useful Because It Frequently Highlights How