Using an information system to make customers and/or suppliers reluctant to change to another competitor is called:
A) Growth strategy
B) Building switching costs
C) Creating alliances
D) Raising barriers to entry

Question

Quizplus · Accepted Answer

Building switching costs is a strategy that involves using an information system to make it difficult for customers and/or suppliers to switch to another competitor. This can be achieved by creating a relationship of trust and loyalty with customers and/or suppliers, providing value-added services that are difficult to replicate, and offering incentives for long-term commitments. By doing so, customers and/or suppliers are less likely to switch to a competitor because the cost of doing so is increased.

Using an Information System to Make Customers And/or Suppliers Reluctant