Final answer:
It is true that each customer defines its own retention policy, as these should be aligned with the specific needs of the business and their customer base.
Step-by-step explanation:
The statement "Each customer defines its own retention policy" is generally true. A customer retention policy is a set of guidelines a company uses to manage customer relationships over time with the goal of retaining as many customers as possible. Since each business has unique aspects, customer bases, and objectives, the retention policies often need to be tailored to the specific needs and characteristics of that business's own customer base.
Different businesses may prioritize different aspects of customer service, product quality, user experience, or loyalty programs to encourage customers to remain with the company. Therefore, it's critical for businesses to understand their customers' expectations and define a retention policy that fits these expectations and aligns with the company's overall strategy.