Answered step by step
Verified Expert Solution
Question
1 Approved Answer
internal analysis finds that: - Every shipping error over 2 shipping errors per month reduces the customer retention rate by 1.5%. - On average, each
internal analysis finds that: - Every shipping error over 2 shipping errors per month reduces the customer retention rate by 1.5%. - On average, each day above 2 days from ordered to delivered yields a reduction in the customer retention rate of 1%. - Each day before two days from order to delivery yields an increase in the customer retention rate of 1%, on average. - TMD Goal Inc.'s current customer retention rate is 80%. - The company estimates that for every 1% increase or decrease in the customer retention rate, market share changes 0.5 in the same direction. - TMD Goal Inc.'s current market share is 20.4%. Ignoring any other factors, if the company has 4 shipping errors this month and an average of 2.5 days from ordered to delivered, determine. a. The new customer retention rate. Round your answer to one decimal place. X \% b. The new market share that TMD Goal Inc. expects to have. Round your answer to two decimal places
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started