To calculate the customer concentration ratio, follow these steps:
1. Identify Top Customers: List the top customers based on revenue contribution. 2. Sum of Revenues: Add up the total revenue generated by these top customers. 3. Divide by Total Revenue: Divide this sum by the company's total revenue and multiply by 100 to get a percentage.
For example: \[ \text{Customer Concentration Ratio} = \left( \frac{\text{Revenue from Top Customers}}{\text{Total Revenue}} \right) \times 100 \]