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Planned obsolescence means designing products to wear out sooner, and competition tends to push durability back up
Planned obsolescence is the practice of designing a product with a deliberately limited life, so that it breaks, fails or looks outdated after a set period and the customer has to buy a replacement. It was once dismissed as a conspiracy theory, but it is now a recognised business strategy. The aim is to shorten the replacement cycle and keep sales flowing. It works best when a producer has a dominant position or strong brand loyalty, because it needs customers to return to the same company. Customers usually cannot see how long a product was meant to last, which creates an information gap between producer and buyer. When markets become more competitive, durability tends to improve. The history of cars shows this: when longer-lasting Japanese vehicles entered the American market in the 1960s and 1970s, American carmakers were forced to build more durable products in response.
A firm can make a product fragile, use parts that wear out, or introduce new versions that make older ones feel outdated. Because customers do not know the intended lifespan, they cannot easily judge quality before buying. The firm profits from repeat sales as long as customers stay loyal and rivals do not offer something sturdier. Competition weakens this incentive, because a rival that lasts longer can take the customers.
The idea explains why some goods seem built to fail and why right-to-repair rules and competition are central to the debate over electronics and appliances.
From Wikipedia, the free encyclopedia · text CC BY-SA 4.0
Illustrative photo · LukaszKatlewa, CC BY-SA 4.0, via Wikimedia Commons
