The Supplier Switch

Supplier relationships carry real switching costs — certification, tooling transfer, quality ramp, and relationship capital — but they also carry staying costs that compound quietly over time. A 22% price gap doesn't stay invisible; it shows up in margin every quarter. The right question is not whether switching is disruptive but whether the disruption cost is recoverable within a reasonable horizon. When switching costs are one-time and savings are annual, math almost always favors the switch.