Question

What is customer equity in the context of business?

A. The value of a company's physical assets
B. The total revenue generated by a company in a fiscal year
C. The combined lifetime value of all current and potential customers
D. The cost of acquiring new customers

Answer 1

Customer equity in the context of business refers to the combined lifetime value of all current and potential customers.

Step-by-step explanation:

Customer equity in the context of business refers to the combined lifetime value of all current and potential customers. It represents the total value that a company can derive from its customer relationships over time. Customer equity takes into account factors such as customer loyalty, repeat purchases, and the potential for cross-selling and upselling.