A relationship strategy perspective on relationship portfolios: Linking customer profitability,commitment, and growth potential to relationship strategy |
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| Authors: | Thomas Ritter Henrik Andersen |
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| Institution: | 1. Department of Strategic Management and Globalization, Copenhagen Business School, Kilevej 14A, DK 2000 Frederiksberg, Denmark;2. Andersen&Partners Management Consulting, Frederik 7 vej 25, DK 3450 Allerød, Denmark |
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| Abstract: | The paper develops a three-dimensional portfolio model for business relationships which distinguishes among six different categories. Based on assessments of customer profitability, customer commitment, and growth potential, the positioning of a given customer relationship in the portfolio allows managers to determine appropriate customer relationship strategies and appropriate performance indicators. Results from applying the portfolio model are reported and managerial implications and future research are discussed. |
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| Keywords: | Relationship profitability Commitment Growth potential Relationship strategy |
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