For Immediate Release Oct. 30, 1997
From: Dennis Brown; [email protected]
If you buy a "Beamer" you're more likely to take good care of it, according to recent research by three Notre Dame management professors.
In a study titled "Is Quality Perception a Self-Fulfilling Prophecy? The Case of the Automotive Industry," professors Edward Conlon, Khalil Matta and Sarvanan Devaraj found a strong link between the perception of quality and customers' maintenance activities.
Specifically, after controlling for owner income levels, education levels and certain personality traits, the study indicated that people who purchase vehicles with strong quality reputations maintain them better than those who buy cars with lesser reputations, and vice versa.
"This is an especially interesting finding in the world of leasing," says Conlon, chair and professor of management. "With a leased automobile, the lessor retains a real interest in how the car is maintained."
The study was selected the outstanding application paper of the year by the Decision Sciences Institute and will be presented Nov. 25 at the institute's annual meeting in San Diego.
Contact: Edward Conlon, (219) 631-6183
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