costs) and predicted that PPU, when arising as a di fferentiation to selling in equilibrium, fundamentally achieves lower … profi ts than selling. We extend the theory by covering goods with any production cost, in duopolistic competition. We show … that PPU business models can be more pro table than selling (especially at mid-range production costs), as long as their …

this area has argued that in a monopolistic environment, leasing dominates selling. Hence, leasing and selling should not … leasing and selling hinges on the rates at which leased and sold units depreciate. In particular, we find that leasing does … not dominate selling in all cases; if sold units depreciate at a significantly higher rate than leased units, a …