Path Dependency

Path dependency refers to how decisions and outcomes are shaped by past actions and choices. It means that once a particular direction or method is adopted, it becomes difficult or costly to change course later because of existing investments, habits, or established systems. This concept explains why certain technologies, institutions, or practices persist over time—even if better options exist—because the history and resources invested create a sort of momentum that influences future decisions. Essentially, history influences present and future choices, often making change more challenging.