A Significant Downside to Network Externalities Is That

question 15

Multiple Choice

A significant downside to network externalities is that

• A) there may be large switching costs to consumers for changing products so that consumers end up using products with inferior technologies.
• B) firms may network with unethical suppliers or distributors.
• C) the costs of hiring celebrity endorsements may be very high.
• D) there may be large switching costs to firms changing technologies.

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Definitions:

Anemia

A condition characterized by a deficiency of red blood cells or hemoglobin, leading to fatigue, weakness, and shortness of breath.

Cathartic

Relating to the process of emotional release and purification, often described in the context of art or therapy; also refers to substances that induce the evacuation of the bowels.

Carbohydrates

Organic compounds made up of carbon, hydrogen, and oxygen that are a major source of energy for the body, found in foods like grains, fruits, and vegetables.

Energy Calories

A unit of measure that indicates the amount of energy that food provides to the body.