Paradox of the product improvement on the agricultural machinery market – quality and profit relations Cover Image

Paradoks doskonalenia produktu na rynku maszyn rolniczych – relacje jakość a zysk
Paradox of the product improvement on the agricultural machinery market – quality and profit relations

Author(s): Bogdan Nogalski, Przemysław Niewiadomski
Subject(s): Economy
Published by: Wydawnictwo Uniwersytetu Ekonomicznego we Wrocławiu
Keywords: paradox in theory and practice of management; product improvement; quality; profit

Summary/Abstract: The representation of a kind of paradox situation, in which, as a result of the product improvement, the manufacturer reduces profits from its implementation, was considered as the objective of this paper. In other words, by offering higher quality of the implemented product, the manufacturer unknowingly squeezes the margin obtained as a result of its sale. Proceeding to the research, the authors assumed that together with the increase of the product quality, the profit margin, which results from its implementation, should rise. Therefore, the manufacturer should improve the product whenever the increase of its quality is accompanied by the profit on the sales of a given unit.

  • Issue Year: 2016
  • Issue No: 419
  • Page Range: 129-149
  • Page Count: 21
  • Language: Polish