Question

The international zoological club publishes a monthly magazine for zoology enthusiasts. members are required to pay an initial fee to cover the first two years of the subscription when registering with the club. in this scenario, the international zoological club is ________. locking in customers standardizing the product enhancing services establishing alliances creating a new product

Answer 1

The International Zoological club is "locking in customers".

In financial matters, vendor lock-in, otherwise called as proprietary lock-in or customer lock-in, makes a client subject to a merchant for items and services, unfit to utilize another seller without significant exchanging costs like in the given example members are required to pay an initial fee to cover the first two years of the subscription when registering with the club which makes a significant financial loss in case an individual decides to change the club or services provided by it.