3.01 Customer Relationship Management Review Quiz

Which of the following is an example of a customer relationship management initiative:

• Expansion of the product-development budget

• New accounting software

• A new bonus system for the sales staff

• A “frequent-shopper” program

In the past, customer relationship management was used mainly as a way to

• track customer information.

• help employees perform more efficiently.

• assist business decision making

• increase customer loyalty.

One action that an ethical business can take to help build the long-term trust and loyalty of its customers is to:

• send daily opt-in e-mail messages to customers.

• implement a comprehensive customer privacy policy.

• sell its customer list to third parties without permission.

• maintain detailed information about customers’ transactions.

Kemper Corporation continually updates the firewalls on its website to protect its customers’ personal information from theft. Kemper’s actions help build trust with its customers in relation to:

• online security.

• physical safety.

• calculation errors.

• product tampering.

In the modern business world, a growing number of interactions between businesses and customers are taking place:

• in stores.

• on the phone.

• over the Internet.

• through the mail.

Which statement is true about customer relationship management (CRM)?

• A. A business has implemented a CRM program if it is providing good customer service.

• B. A primary goal of CRM is to maximize the long-term value of customer relationships.

• C. Price is the most important factor in building a long-term buyer-seller relationship.

• D. Organizational culture has little effect on a customer’s experiences with a business.

Many people make the mistake of thinking that customer relationship management refers solely to

• people.

• strategies.

• processes.

• technology.

Which of the following types of information does a company need customer input to obtain:

• A. Dates of store visits

• B. Suggestions for new products

• C. Types of products purchased

• D. Amount of money spent

Which of the following is a common customer relationship management practice:

• Developing new products

• Training employees

• Creating a marketing budget

• Managing the sales staff

The customer’s preference for a business; usually expressed in regular purchases from the business

• customer service

• customer loyalty

• organizational culture

• relationship buying