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I believe a sibling comment said it best:

> In practice, [switching vendors] is an extremely weak signal, is swamped out by market changes, assumes zero cost of switching, ignores network effects, etc. One of many reasons why I distrust economist’s assertion of fairness.

https://news.ycombinator.com/item?id=34999021

I'd also pedantically point out that this isn't really a negotiation tactic - negotiation generally involves communication.

"to confer with another so as to arrive at the settlement of some matter"



If you send a message and that message is understood, that's communication. There are many ways to communicate "your price was too high".




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