Frequent flier miles would be an example of which barrier to entry
A) Building customer loyalties
B) Securing access to supply of key resources
C) Creating product uniqueness
D) Building in switching costs

Question

Frequent flier miles would be an example of which barrier to entry  
A) Building customer loyalties
B) Securing access to supply of key resources
C) Creating product uniqueness
D) Building in switching costs

Quizplus · Accepted Answer

Frequent flier miles are a tool used by airlines to build customer loyalty by creating a cost for switching to a competitor. Customers accumulate miles that can be redeemed for flights, upgrades, or other rewards, making them more likely to stick with the airline to maximize their benefits, thus representing a switching cost.

Frequent Flier Miles Would Be an Example of Which Barrier