Tony has been a loyal PlayStation user for the last few years and has invested over $500 in the console, controllers and about 20 games that can only be played on the PlayStation platform. A new game has just been launched for the Xbox One that Tony wants to buy, but he would have to purchase a new Xbox and controllers for $500 in order to play the game. Tony decides not to buy the new Xbox game due the costs. Tony's decision was based on high switching costs.

Question

Quizplus · Accepted Answer

Tony's decision was influenced by the high switching costs associated with switching from PlayStation to Xbox, which would require him to purchase a new console and controllers in order to play the new game.

Tony Has Been a Loyal PlayStation User for the Last