Maurice Tutor

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Teaching Since: May 2017
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  • MCS,PHD
    Argosy University/ Phoniex University/
    Nov-2005 - Oct-2011

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  • Professor
    Phoniex University
    Oct-2001 - Nov-2016

Category > Computer Science Posted 27 Aug 2017 My Price 6.00

customer advantage card

Mr. D’s Supermarket is determined to please its customers with a customer advantage card. Currently, 30 percent of all shoppers are loyal to Mr. D’s. A loyal Mr. D’s customer shops at Mr. D’s 80 percent of the time. An unloyal Mr. D’s customer shop at Mr. D’s 10 percent of the time. A typical customer spends $150 per week, and Mr. D’s is running on a 4 percent profit margin. The customer advantage card will cost Mr. D’s an average of $0.01 per dollar spent. You believe Mr. D’s share of loyal customers will increase by an unknown amount between 2 percent and 10 percent. You also believe that the fraction of the time a loyal customer shops at Mr. D’s will increase by an unknown amount between 2 percent and 12 percent. Should Mr. D’s adopt a customer advantage card? Should Mr. D’s adopt the card if its profit margin is 8 percent instead of 4 percent?

Answers

(5)
Status NEW Posted 27 Aug 2017 07:08 PM My Price 6.00

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