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A new business model for baby prams based on easing and product remanufacturing

Mont, Oksana LU ; Dalhammar, Carl LU and Jacobsson, Nicholas LU (2006) In Journal of Cleaner Production 14(17). p.1509-1518
Abstract
A shift in business thinking from selling products to providing service solutions to customer needs is becoming noticeable. It is driven by increasing competition and the need to identify new profit centres for producers of mature products. This paper identifies a new product group that could be interesting from the product-service system perspective - baby prams. The study presents a new business model based on selling the function that baby prams provide through leasing prams. It discusses potential barriers and necessary changes in product design and the supply chain to make it work. The product-service system in this case could include the organisation of a reverse logistics system with different levels of refurbishment and... (More)
A shift in business thinking from selling products to providing service solutions to customer needs is becoming noticeable. It is driven by increasing competition and the need to identify new profit centres for producers of mature products. This paper identifies a new product group that could be interesting from the product-service system perspective - baby prams. The study presents a new business model based on selling the function that baby prams provide through leasing prams. It discusses potential barriers and necessary changes in product design and the supply chain to make it work. The product-service system in this case could include the organisation of a reverse logistics system with different levels of refurbishment and remanufacturing of prams, partially by retailers. The new model may provide customers with a high quality pram in a "like new" condition for the period they need it, and may help avoid transaction costs of having to sell the pram on the second-hand market. Economic estimations point to a significant potential for increased profits, while the environmental potential should be further investigated. (Less)
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author
; and
organization
publishing date
type
Contribution to journal
publication status
published
subject
keywords
products, durable, prams, remanufacturing, product-service systems, leasing, eco-design
in
Journal of Cleaner Production
volume
14
issue
17
pages
1509 - 1518
publisher
Elsevier
external identifiers
  • wos:000240583400007
  • scopus:33745726866
ISSN
0959-6526
DOI
10.1016/j.jclepro.2006.01.024
language
English
LU publication?
yes
id
6940a844-1054-4d03-be93-15e91481cc50 (old id 393060)
date added to LUP
2016-04-01 15:33:40
date last changed
2020-10-07 04:16:29
@article{6940a844-1054-4d03-be93-15e91481cc50,
  abstract     = {A shift in business thinking from selling products to providing service solutions to customer needs is becoming noticeable. It is driven by increasing competition and the need to identify new profit centres for producers of mature products. This paper identifies a new product group that could be interesting from the product-service system perspective - baby prams. The study presents a new business model based on selling the function that baby prams provide through leasing prams. It discusses potential barriers and necessary changes in product design and the supply chain to make it work. The product-service system in this case could include the organisation of a reverse logistics system with different levels of refurbishment and remanufacturing of prams, partially by retailers. The new model may provide customers with a high quality pram in a "like new" condition for the period they need it, and may help avoid transaction costs of having to sell the pram on the second-hand market. Economic estimations point to a significant potential for increased profits, while the environmental potential should be further investigated.},
  author       = {Mont, Oksana and Dalhammar, Carl and Jacobsson, Nicholas},
  issn         = {0959-6526},
  language     = {eng},
  number       = {17},
  pages        = {1509--1518},
  publisher    = {Elsevier},
  series       = {Journal of Cleaner Production},
  title        = {A new business model for baby prams based on easing and product remanufacturing},
  url          = {http://dx.doi.org/10.1016/j.jclepro.2006.01.024},
  doi          = {10.1016/j.jclepro.2006.01.024},
  volume       = {14},
  year         = {2006},
}