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      Question

      A decline in referral-based account openings suggests

      weakness in:
      A Customer satisfaction Correct Answer Incorrect Answer
      B Pricing strategy Correct Answer Incorrect Answer
      C Product life cycle Correct Answer Incorrect Answer
      D Distribution coverage Correct Answer Incorrect Answer
      E Harvesting policy Correct Answer Incorrect Answer

      Solution

      Referrals depend heavily on satisfied customers recommending services. Why others are incorrect: Pricing may not be root cause; PLC relates to product stage; Distribution relates to channels; Harvesting applies to decline stage. Banking Example: Fewer customers recommending bank to friends.

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