If sales are rising but customers are not returning, what should be checked first?
Answer and explanation
Correct answer: Customer satisfaction and service quality
Repeat purchase is strongly related to whether customers feel satisfied with the product, service, reliability, and overall experience. A temporary sales increase may hide problems that discourage retention. Checking feedback, complaints, delivery, quality, and service standards can reveal the cause. Shop colour, age, or receipt size is not the first relevant investigation, so A is correct.
Frequently asked questions
What is the correct answer to this question?
Customer satisfaction and service quality
Why is this the correct answer?
Repeat purchase is strongly related to whether customers feel satisfied with the product, service, reliability, and overall experience. A temporary sales increase may hide problems that discourage retention. Checking feedback, complaints, delivery, quality, and service standards can reveal the cause. Shop colour, age, or receipt size is not the first relevant investigation, so A is correct.
Which subject and chapter does this question cover?
This is a Class 11 Business Studies question. Chapter: MSME and Business Entrepreneurship. Topic: Entrepreneurship Development.
