What issue arises from vendor lock-in?

Vendor lock-in occurs when a customer becomes dependent on a single vendor's products or services and finds it challenging to switch to a different vendor without incurring significant costs or disruptions. This dependency can lead to several drawbacks, including reduced flexibility and leverage over the vendor in terms of pricing, support, and features. Once a company invests heavily in a particular vendor's technology or solutions, migrating to a different system often requires substantial effort, new training, and additional expenses associated with switching, which can create a hurdle for future business decisions and innovations.

In contrast, increased competition among vendors typically leads to better pricing and more options, which doesn't align with the concept of vendor lock-in. Limited availability of products and improved service level agreements are also not direct issues resulting from vendor lock-in; rather, these might be influenced by other factors in the market or specific vendor strategies. Thus, the dependency on a single vendor is the core issue that defines vendor lock-in.