If profit maximization is the objective of a firm, new information about quality should affect firm behavior only through its effects on market demand. I consider an alternate model in which suppliers are motivated by a desire to perform well in addition to profit. The introduction of quality...

If profit maximization is the objective of a firm, new information about quality should affect firm behavior only through its effects on market demand. I consider an alternate model in which suppliers are motivated by a desire to perform well in addition to profit. The introduction of quality...

This article is a study focusing on an important area of appliances we inevitably use almost daily and which has a tendency of renewal, diversification and quality improvement – that is the television set. There is a discrepancy between the quality of the products on the market and the one...