Question: improve store performance any way she thinks best. The base case information is a price of $ 2 7 per bottle, a contribution margin of

improve store performance any way she thinks best. The "base case" information is a price of $27 per bottle, a contribution
margin of 0.40, a customer defection rate of 17 percent, and a repurchase frequency of five times a year. These improvement
funds could be used to (a) increase the contribution margin to 0.44 or (b) reduce the customer defection rate to 12 percent or
(c) increase the repurchase frequency to six times per year. Assume all other variables remain at the base case level for each
of the three improvement options.
Use the Excel template VLC to calculate the VLC for each option and summarize your answers using the table below. Round
your answers to the nearest cent.
What is the best way to use $80,000 in improvement funds?
The best way to use the $80,000 in improvement funds is
 improve store performance any way she thinks best. The "base case"

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