To Minimize the Threat of Substitute Products or Services,some Businesses

question 137

Multiple Choice

To minimize the threat of substitute products or services,some businesses will create switching costs.What are switching costs?

• A)The start-up costs incurred when replacing old technology with new
• B)The costs incurred due to the inability to switch back to your first brand after moving to an alternative brand
• C)A non-refundable fine levied against the customer for switching to a competitor
• D)The costs that make customers reluctant to another project or service supplier

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Definitions:

Discouraged Workers

Individuals not actively seeking employment because they believe no jobs are available for them.

Labor Force

The sum of individuals either working or actively looking for work in an economic system.

Unemployment Figures

The statistics that represent the percentage of the labor force that is not employed but actively seeking employment.

Aggregate Demand

The sum of needs for all goods and services in an economy, measured at a collective price level within a set time interval.