The costs that must be borne by customers if they are to stop purchasing from the current supplier and begin purchasing from another is:
A) customer switching costs.
B) lead time.
C) resource costs.
D) resource bundle errors.

Question

The costs that must be borne by customers if they are to stop purchasing from the current supplier and begin purchasing from another is: 
A) customer switching costs.
B) lead time.
C) resource costs.
D) resource bundle errors.

Quizplus · Accepted Answer

The term used to describe the costs that customers must bear if they switch from one supplier to another is customer switching costs. This includes costs associated with learning about a new supplier, implementing new processes or systems, training employees, and potentially losing volume discounts or other benefits that come with established relationships.

The Costs That Must Be Borne by Customers If They