When a Business Effectively Builds in Switching Costs, Its Customers

question 118

True/False

When a business effectively builds in switching costs, its customers and/or suppliers become reluctant to switch to another competitor.

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Definitions:

Labor-force Participation Rate

The percentage of the working-age population that is either employed or actively looking for employment.

Population Participation

Often referred to as the labor force participation rate, it measures the proportion of the working-age population that is employed or actively looking for employment.

Labor Force

The total number of people who are available to work, including those who are employed and those who are unemployed but seeking work.

Employed Category

Individuals who are working for pay or profit, actively engaged in a business or have a job from which they are temporarily absent.