This paper examines the decision to introduce new products by durable goods producers. Conventional wisdom suggests durable goods producers introduce new products to kill-off used products. However, used units may not compete with new units if initial price can capture the present value of all...

This paper examines the decision to introduce new products by durable goods producers. Conventional wisdom suggests that durable goods producers introduce new products to kill off used products. However, used units may not compete with new units if initial price can capture the present value of...