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Why buy when you can rent? A brief investigation of differences in acquisition mode based on duration

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  • Amy Moore
  • Michael Taylor

Abstract

This article highlights an intriguing finding that the duration of use significantly affects consumers' choice of acquisition mode. When the duration is short, renting is preferred, while buying is preferred for longer durations, even when the economic consequences of both choices are exactly the same.

Suggested Citation

  • Amy Moore & Michael Taylor, 2009. "Why buy when you can rent? A brief investigation of differences in acquisition mode based on duration," Applied Economics Letters, Taylor & Francis Journals, vol. 16(12), pages 1211-1213.
    • Handle: RePEc:taf:apeclt:v:16:y:2009:i:12:p:1211-1213
    DOI: 10.1080/13504850701367304
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    Cited by:

    1. Areti T. Vogel & Sasikarn Chatvijit Cook & Kittichai Watchravesringkan, 2019. "Luxury brand dilution: investigating the impact of renting by Millennials on brand equity," Journal of Brand Management, Palgrave Macmillan, vol. 26(4), pages 473-482, July.
    2. Marco Pichierri & Daniele Scarpi & Gabriele Pizzi, 2018. "To buy or to rent? An experimental study on the antecedents of consumers? acquisition-mode decisions," MERCATI & COMPETITIVIT?, FrancoAngeli Editore, vol. 2018(1), pages 63-92.
    3. Schleich, Joachim & Tu, Gengyang & Faure, Corinne & Guetlein, Marie-Charlotte, 2021. "Would you prefer to rent rather than own your new heating system? Insights from a discrete choice experiment among owner-occupiers in the UK," Energy Policy, Elsevier, vol. 158(C).

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