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Referrring to the document in the link provided, please see the image attached to answer the two question listed for the "Chase Sapphire Case Study", accounting the profitability $($NPV$)$ and calculating the CLV with detailed breakdown in order to prove its case and also provide way ahead recomnendations.Group Assignment Question:

Mr$.$ Jamie Dimon, CEO of JP Morgan Chase, has hired your group as consultants to critically evaluate the Customer Acquisition Strategy adopted for Chase Sapphire Reserve. His team has shared the following strictly confidential data with you:

Number of Customers acquired for Chase Sapphire Reserve $($CSR$)$ in year $1$ with $100,000$ points sign$-$up bonus $=1,500,000.$

Number of Customer acquired for CSR in year $1,$ after cutting down the sign$-$up bonus to $50,000$ points $=500,000$

There are three segments in the data:

i$.$ Transactors: $40\%$ with annual spending of $$36,000$

ii$.$ Revolvers: $30\%$ with annual spending of $$25,000$ with $50\%$ revolving balance

iii. Churners$/$Deal Chasers: $30\%$

Internal cost of borrowing is $12\%$

Interchange fee is $2\%$

$70\%$ of the bonus and travel credit points are redeemed.

Based on the data given in the case and the additional data provided, your job is to submit a $3$page memo to answer the following two questions

a$)$ Will our customer acquisition strategy be profitable? If yes $($or not$),$ then what is your estimate for this profit$($loss$)?$

b$)$ If the strategy is not profitable, then what must we change to be able to do so$?$

GRADING RUBRIC

$\backslash$table$[[$Levels$,$Excellent,Good,Poor$],[$Criteria$,,,],[$Relevance$,\backslash$table$[[$Persuasively answers the$],[$CEO$\text{'}$s question with$],[$detailed arguments and$],[$calculations$]],\backslash$table$[[$Answers the question by$],[$identifying the relevant aspects,$],[$but does not persuade with either$],[$arguments being incomplete, or$],[$calculations being$],[$inaccurate$/$incomplete$.]],\backslash$table$[[$Does not provide a$],[$recommendation that is$],[$based on comprehensive$],[$empirical and conceptual$],[$analyses$.]]],[\backslash$table$[[$Application$],[$of Concepts$]],\backslash$table$[[$Concepts related to$],[$customer acquisition and$],[$profitability are applied$],[$comprehensively and$],[$coherently to form the$],[$foundation of$],[$recommendation$.]],\backslash$table$[[$Concepts are applied in a$],[$selective$,$ but not comprehensive$],[$and integrated manner to support$],[$the recommendation.$]],\backslash$table$[[$Relevant concepts are$],[$barely applied and are$],[$neither connect to each$],[$other$,$ nor to the overall$],[$recommendation$.]]],[\backslash$table$[[$Quality of$],[$Discussion$],[$and balanced response, with$],[$full$,$ logical & concise$],[$arguments in addition to$],[$conclusions and outcomes.$]],\backslash$table$[[$Provides a complete and$],[$reasonably balanced response$],[$with some arguments in addition$],[$to conclusions and outcomes.$]],\backslash$table$[[$Provides only$],[$conclusions and$],[$outcomes$,$ without$],[$specifying arguments.$]],],[\backslash$table$[[$Demonstrates excellent$],[$syntax$,$ visual presentation,$],[$grammar and writing style.$]],\backslash$table$[[$Demonstrates very good syntax,$],[$grammar and writing style.$]],\backslash$table$[[$Demonstrates weak or$],[$poor writing skills.$]],]]$