So What If Remanufacturing Cannibalizes My New Product Sales?

Remanufactured products do not always cannibalize new product sales. To minimize cannibalization and create additional profits, managers need to understand how consumers value remanufactured products. This is not a static decision and should be re-evaluated over the entire product life cycle. While managers have a responsibility to maximize profits for the firm, this is not necessarily equivalent to maximizing new product sales. A portfolio that includes remanufactured products can enable firms to reach additional market segments and help block competition from new low-end products or third-party remanufacturers.