Which of the following is NOT a strategy used by a company to "lock-in" customers to ensure demand for its product?
A)Increasing switching costs.
B)Generating positive network effects.
C)Pressuring the government to require a license for entry into the market
D)Building goodwill and loyalty among customers.

Question

Quizplus · Accepted Answer

Pressuring the government to require a license for entry into the market is not a strategy used to lock-in customers. This is a strategy used to limit competition and create barriers to entry in the market, which can be beneficial for the incumbent company, but it does not necessarily ensure demand for its product. The other three strategies listed in the options can help companies to lock-in customers and ensure demand for their products.

Which of the Following Is NOT a Strategy Used by a Company