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Not all customers are good customers. Unfortunately, some, regardless of how much you charge for your services, do not add to your net profit.
Let's look at an example from the service industry:
Customer A: $25,000.00 in revenueCustomer B: $32,000.00 in revenueCustomer C: $37,500.00 in revenue
Problem 1: You might be looking at this, thinking, "why would we eliminate any of these customers? Look how much revenue they are bringing in to the firm?" But remember, there are other things we need to consider. What are some of the things to consider?
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