The Use of Customer Portfolio Theory

Abstract

The development of a customer portfolio is a logical process for the development of a business. Conceptual work, using a range of independent variables, has been undertaken in the past decade but few (if any) results of its application have been documented. Shows how a fabric supplier has developed a system for customer portfolio construction based on current profitability and the nature of the current relationships between itself and garment manufacturers. Details the costs, together with more qualitative variables, used in the system. Provides suggestions for future resource allocation.

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