QuestionQ348

Benefits Realization

A marketing enterprise is considering acquiring customer information to target customer communications more accurately and increase sales. The data would carry a very high cost for the enterprise. Which of the following would provide the MOST comprehensive view of the potential value to the organization?

  • A Risk assessment results
  • B Cost-benefit analysis results
  • C Net present value (NPV) calculation
  • D Investment services board review
Explanation

A cost-benefit analysis systematically compares all relevant costs with expected benefits in monetary terms, providing a comprehensive basis for determining whether the customer information’s expected sales and targeting gains justify its high acquisition cost. Net present value is a useful financial calculation but is narrower than the overall cost-benefit evaluation.

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