What Are Costs That Make Customers Reluctant to Switch to Another

question 198

Multiple Choice

What are costs that make customers reluctant to switch to another product or service?

• A) Support activities
• B) Switching costs
• C) Loyalty rewards
• D) Value chain activities

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Definitions:

Invested Assets

Assets that are allocated into various investment vehicles such as stocks, bonds, real estate, or other securities with the expectation of earning a return.

Operating Income

The profit realized from a business's operations, after deducting operating expenses like wages and cost of goods sold from gross profit.

Investment Turnover

A measure of a company's ability to generate sales from its investments; calculated by dividing sales by average invested assets.

Profit Margin

The amount by which revenue from sales exceeds costs in a business, expressed as a percentage of total sales.