Question
QUestion 5 You are newly employed by Shoprite in your area as a supply chain specialist. Shoprite wants to measure the impact of its customer
QUestion 5
You are newly employed by Shoprite in your area as a supply chain specialist. Shoprite wants to measure the impact of its customer on the business at large. Use the simple Method to calculate the Customer Lifetime Value (CVL) of Shoprite's products using the following data (Include practical examples and analysis of the final results): (20marks)
| Total Revenue | R120,000,000 |
| Total Number of Customers | 8,000,000 |
| Total Number of Orders | R2,500,000 (Total Revenue) |
| Average Order Frequency (AOF) | 10 |
| Average Customer Lifespan (ACL) | 8 years |
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Introduction to Operations and Supply Chain Management
Authors: Cecil B. Bozarth, Robert B. Handfield
3rd edition
132747324, 978-0132747325
