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The Right Way to Mix and Match Your Customers

May 12, 2021 | William Schmidt, Nikolay Osadchiy, Jing Wu | Strategy

Companies that experience big fluctuations in demand can incur significant costs: overtime and lost sales when demand is too high, and idle capacity and excess inventory when demand slumps. But it’s possible to better manage this variability by looking at one’s customer list as a portfolio and targeting new customers whose demand patterns are complementary to those of existing customers.

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