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Switching costs, number of buyers, and if the items represent a relatively small portion of the cost of finished products are key considerations regarding the bargaining power of buyers.
Switching costs are the costs which are paid by a consumer as a result of switching brands, suppliers, or products. Some companies may employ high switching costs in order to prevent customers from moving to another brand.
Suppose if the customer purchases large volumes of standardized products from the seller, then the buyer's bargaining power is quite high. Also, when substitute of a product is available in the market, the buyer power increases.
Hence, most prevailing switching costs are monetary in nature.
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Answer:
lower the prices of imported components
Explanation:
In simple words, Job outsourcing allows American businesses to compete more effectively in the international economy. It enables them to advertise to international markets through their abroad operations. They keep labor costs cheap by recruiting in developing countries with poorer living conditions. As a result, the pricing of the items they send back to the United States are lower.
Answer:
The correct answer is Effect Corporate Change
Explanation:
Corporate change arises not only from the change in hierarchical structure, but from the beliefs, culture and values by which one company can be recognized against others. And this change is mainly due to the treatment and the possibilities they offer in personal growth from the highest ranking boss to the person with the lowest level of authority. These actions allow a better development in the market, since they have updated competences that allow them to head towards the market effectively.
