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Masterful Meisters? Voluntary Certification and Quality in the German Crafts Sector

Author

Listed:
  • Fredriksen Kaja

    (Institute for Small Business Economics, ifh Göttingen,Göttingen, Germany)

  • Runst Petrik

    (Institute for Small Business Economics, ifh Göttingen,Gõttingen, Germany)

  • Bizer Kilian

    (Goettingen University,Göttingen, Germany)

Abstract

Voluntary certification systems potentially reduce search costs in markets with imperfect information. Service markets with many heterogeneous firms - such as the crafts market - are prone to information imperfections and can therefore potentially benefit from such informational mechanisms. We examine if the Meister qualification in the German crafts sector improves service quality as perceived by consumers. We find a significant and positive relationship between the Meister title and consumer ratings and conclude that the certificate is a credible sign of quality.

Suggested Citation

  • Fredriksen Kaja & Runst Petrik & Bizer Kilian, 2019. "Masterful Meisters? Voluntary Certification and Quality in the German Crafts Sector," German Economic Review, De Gruyter, vol. 20(1), pages 83-104, February.
    • Handle: RePEc:bpj:germec:v:20:y:2019:i:1:p:83-104
    DOI: 10.1111/geer.12158
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