Anthony Carlton just completed his college degree and has
taken a job in a nearby city. As he prepares to move into his new
apartment, Anthony realizes he must make a purchasing decision
regarding furniture. He starts the buying process by talking
to his parents and friends.
His dad suggests that Anthony lease some furniture until he
is sure how long he will live in this area. “No sense buying
things that you might have to sell or move a long distance,” he
advises.
“I can get you a great deal on some furniture,” offered Anthony’s
friend Steve. Anthony responded, “I don’t have that
much cash available.” Steve replied, “No problem, we have an
easy payment plan at our store.”
While continuing to think about the situation, Anthony
comes across an advertisement by a “rent-to-buy” store. He
calls the company and finds out that the very low payments
make it possible to get the furniture available almost immediately.
In addition, the salesperson on the phone commented that
“within just a few years, these items can be yours to keep.”
Anthony continues to read articles about buying furniture
and talks to others about the purchase. As he obtains more buying
information, Anthony becomes increasingly uncertain about
what action to take. Finally, he exclaims, “Maybe I can just sit
on the floor!”
Questions
What information sources are likely to be most helpful to Anthony?
How should Anthony evaluate the costs and benefits of the alternatives available for resolving his buying problem?
What other alternatives may be available to Anthony?
