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Customer Relationship Management (CRM) is focused on identifying profitable customers, retaining those customers, and growing their lifetime value. The aim is to identify and differentiate individual customers and customer groups, use data to determine customer interactions, and determine how to provide customization within a mass customization environment.

Respond fully to the following questions:

  1. Based on your understanding of the principles of CRM, why has there been a shift in focus to the customer? How does this shift benefit the organization? How does it benefit the consumer?
  2. Effective CMR requires consumers and organizations to establish and develop relationships with each other. What are the characteristics of good relationships? Why is it difficult to sustain relationships? What are some of the barriers to effective relationships?
  3. Identify and briefly the keys to successful CRM implementation.
  4. Define and discuss the three primary models of CRM: the IDIC model; the QCI Model and the CRM Value Chain Model. How are these models similar? How do they differ?

Papers should be four to five pages in length, double-spaced. Use headers to separate major themes or topics. Respond fully. Give examples when appropriate. Be sure to provide your own perspective on each of the questions.

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