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Author:Desai, P.
Purohit, D.
Title:Competition in durable goods markets: the strategic consequences of leasing and selling
Journal:Marketing Science
1999 : VOL. 18:1, p. 42-58
Index terms:COMPETITION
CONSUMER DURABLES
MARKETS
Language:eng
Abstract:In marketing durable goods, manufacturers use varying degrees of leasing and selling to consumers, e.g., cars, photocopiers, personal computers, airplanes, etc. The question that this raises is whether the distinction between leases and sales is simply one of price, or whether the proportion of leases and sales effects a firm's ability to compete in the market. In this paper the authors use two approaches to argue that leasing and selling create strategic consequences that extend beyond prices.
SCIMA record nr: 192848
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