Switching costs are a fundamental response lag driver of which barrier to erosion?
A) IT project
B) Preemption
C) IT resources
D) Complementary Resources
E) Presumption

Question

Quizplus · Accepted Answer

Switching costs are a fundamental response lag driver of the barrier to erosion known as preemption. Preemption occurs when a firm takes actions that make it costly or difficult for competitors to enter a market or challenge its position, thus creating a barrier to competition. Switching costs, which are the costs that consumers must bear to switch from one product or service to another, can deter customers from moving to a competitor, thereby reinforcing the firm's preemptive position.

Switching Costs Are a Fundamental Response Lag Driver of Which