Consumers will bear the costs of switching technologies when
A) the benefits of adopting the new technology outweigh the costs of switching.
B) switching costs are substantial.
C) switching costs are reimbursed by makers of a product.
D) all of these choices.
E) none of these choices.

Question

Quizplus · Accepted Answer

Consumers will only bear the costs of switching technologies when the benefits of adopting the new technology outweigh the costs of switching. If the benefits do not justify the switching costs, consumers are unlikely to switch to the new technology. In some cases, the makers of a product may provide incentives or reimbursements to consumers to minimize switching costs, but ultimately it is the consumer's decision whether or not to switch based on the perceived benefits and costs.

Consumers Will Bear the Costs of Switching Technologies When