Each division manager for a paint manufacturer is provided with a customer profitability analysis for the past year. The managers use the analysis to determine how best to allocate the company's resources within their division, and when a customer is a "loss customer," that customer is dropped.
Required:
Advise (briefly) the managers on their strategy of focusing only on profitabilty over the year, in terms of improving the bottom line of their respective divisions. Include at least three other factors that managers should consider in deciding how to allocate resources across customers.

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The Answer of Each division manager for a paint manufacturer is provided with a customer profitability analysis for the past year. The managers use the analysis to determine how best to allocate the company's resources within their division, and when a customer is a "loss customer," that customer is dropped.
Required:
Advise (briefly) the managers on their strategy of focusing only on profitabilty over the year, in terms of improving the bottom line of their respective divisions. Include at least three other factors that managers should consider in deciding how to allocate resources across customers.

Each Division Manager for a Paint Manufacturer Is Provided with a Customer