Price Determinants For Remanufactured Electronic Products: A Case Study On Ebay Uk

In this paper, we analyse the market determinants of price differentials between new and remanufactured products in Electronics using data on purchases made on eBay UK. The empirical analysis is carried out by means of linear regression methods, which are capable of controlling for the presence of collinearity among the explanatory variables. Our empirical results suggest that the seller reputation, length of warranties, proxies of demand and supply of remanufactured products, duration, end day of product listings as well as the availability of return policies are important determinants of price differentials. Most importantly, we find that the seller identity plays an important role, as our empirical results are predominantly driven by transactions carried out by non-manufacturer-approved vendors.