The Profit-Making Allure of Product Reconstruction Case Solution And Analysis, HBR Case Study Solution & Analysis of Harvard Case Studies

Merchandise reconstruction, which covers a continuum of tasks from recycling to remanufacturing to refurbishing, enables companies to sell high-performance goods at lower costs than products that are new that are identical while also realizing higher profits. Merchandise reconstruction may open new markets for businesses in satisfying the needs of at least one of six sorts of customers: those who should keep an unique product because it's a technically defined function in their own current processes; end users who desire to avoid the need to establish, reapprove or recertify a merchandise; customers who make low use of new gear; those wishing to continue using a product that has been discontinued by the original maker; people who simply want to expand the service lives of used products, whether discontinued or not; and customers who are interested in environmentally friendly products. The firm must also possess certain kinds of expertise beyond serving a particular market.

To triumph at recycling, for example, it must be closely familiar with the manufacturing procedure that initially created the merchandise, have the ability to make extensive and time consuming sales efforts (to help compete effectively against the many other businesses in this low-obstacles-to-entry industry) and be willing to specialize, given that specific materials vary greatly in sophistication, time requirements, predictability, capital and labor characteristics and expense.

The Profit-Making Allure of Product Reconstruction Case Study Solution

PUBLICATION DATE: April 01, 2009 PRODUCT #: SMR313-PDF-ENG

This is just an excerpt. This case is about TECHNOLOGY & OPERATIONS