Please use this identifier to cite or link to this item:
https://hdl.handle.net/20.500.12202/6665
Title: | Trade credit, quality guarantees, and product marketability. |
Authors: | Ravid, S. Abraham Long, Michael Malitz, Illeen B. 0000-0002-5557-789X |
Keywords: | Trade credit financing for corporations |
Issue Date: | Nov-1993 |
Publisher: | Wiley [Commercial Publisher] ; Financial Management Association International [Associate Organisation] |
Citation: | Ravid, S.A., Long, M. & Malitz, I.B. (1993, November). Trade credit, quality guarantees, and product marketability. Financial Management, 22(4), DOI: 10.2307/3665582 |
Series/Report no.: | Financial Management;22(4) |
Abstract: | Although trade credit has long been an important source of financing for corporations, it is one of the least understood methods of doing business. One possible reason for misconceptions about trade credit is that it is not primarily financial in nature, but instead reflects production and marketing decisions. In this paper, we consider trade credit as a way that firms can guarantee product quality, rather than as a means of financing less creditworthy firms. In this context, we seek, and provide, possible explanations for observed phenomena such as relatively shorter (or no) trade credit terms for consumer and food products and relatively longer terms for heavy industrial equipment. |
Description: | Scholarly article / Open Access |
URI: | https://doi.org/10.2307/3665582 https://hdl.handle.net/20.500.12202/6665 |
ISSN: | Print: 0046-3892 Electronic: 1755-053X |
Appears in Collections: | Sy Syms School of Business (SSSB) -- Faculty Publications |
Files in This Item:
File | Description | Size | Format | |
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Ravid Long Trade Credit R Dec1993 avid.tc.93 short.pdf | 1.82 MB | Adobe PDF | View/Open |
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