Planned obsolescence

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A consumer good is said to become obsolete when a new good, typically with more features or uses, is introduced to supplant an older one. Non-tangible things such as jobs and ideas can also be said to become obsolete.

Planned obsolescence is the conscious decision on the part of an agency to produce a consumer product which will become obsolete in a defined time frame.

Contents

Types of planned obsolescence

Technical or functional obsolescence

  • A new product does not interoperate with older products
  • A product is unserviceable when it fails
  • Cost of repairs is impractical, based on replacement costs
  • The manufacturer refuses to provide service or parts any longer.

Style obsolescence

Marketing may be driven primarily by aesthetic design. Product categories where this is the case display a fashion cycle. By continually introducing new designs and retargeting or discontinuing others, a manufacturer can "ride the fashion cycle." Examples of such product categories include automobiles (style obsolescence), with a strict yearly schedule of new models, and the almost entirely style-driven clothing industry (riding the fashion cycle).

Obsolescence driven decisions

Estimates of planned obsolescence can influence a company's decisions about product engineering; there is little business reason to make a product that lasts longer than anyone is expected to use it. Therefore the company can use the least expensive components that satisfy product lifetime projections. Such decisions are part of a broader discipline known as value engineering.

Quotations about planned obsolescence

"Today the appearance of a motor-car is a most important factor in the selling end of the business�perhaps the most important factor�because everyone knows the car will run."�Alfred P. Sloan, General Motors.

See also: obsolescence


References