An entrepreneur acquires many customers through advertising but most purchase only once. What is the most useful next analysis?

Correct answer: Study customer retention and reasons for repeat purchase

Acquisition shows how customers arrive, while retention shows whether the product and experience create continuing value. The entrepreneur should examine repeat-purchase rates, satisfaction, price, product quality, service, and reasons for leaving. More advertising may add first-time buyers without solving the underlying problem. Therefore studying retention and repeat-purchase causes is the most useful next step, A.