Question: A software systems vendor sells a system that is very expensive and requires ten times the cost of the software to implement. To change to
A software systems vendor sells a system that is very expensive and requires ten times the cost of the software to implement. To change to a different vendor will cost their customers the same amount which most companies consider cost prohibitive to do immediately. The implementation costs create
high witching costs which create Customer Lockin
Performance improvements
Barriers to Entry which reduces the threat of new entrants
New products for the company
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