Management and Production Engineering Review

Volume 15 • Number 2 • June 2024 • pp. 25–41

DOI: 10.24425/mper.2024.151128

Towards a Unified Model of Planned Obsolescence and Innovation

Adoption in Consumer Behavior: A Literature Review and Conceptual
Proposition using the Stimulus-Organism-Response Framework
INDRAWATI1 , Tri WIDARMANTI1 , Gadang RAMANTOKO1 ,
Subhash K.B. PILLAI2 , Indira RACHMAWATI1
1
Telkom University, School of Economics and Business, Indonesia
2
Goa University, Goa Business School, India

Received: 07 September 2023 Abstract

Accepted: 06 April 2024 This study investigates the controversial practice of planned obsolescence in the electronics
industry. The study explores how frequent new model releases affect smartphone pricing
and consumer loyalty, along with factors influencing smartphone upgrades such as perceived
necessity, technological advancements, and pricing incentives. The research aims to understand
consumer perspectives on planned obsolescence using Venkatesh’s decision-making theory in
dynamic purchase conditions. Key questions include defining planned obsolescence, dissecting
the innovation and consumer behavior model, and examining how these concepts relate to
purchasing the next smartphone version. The literature review covers 23 planned obsolescence
references (1993-2022) and 21 innovation adoption references (1943-2021). It touches on various
aspects of planned obsolescence. The study advocates for consumer awareness, sustainable
practices by producers, and a balanced business model that serves all interests while protecting
the environment. A legal framework supporting a circular economy is highlighted as essential
in combating planned obsolescence.

Keywords
Planned Obsolescence, Innovation Adoption, Stimulus Organism Response, Unifying, UTAUT.

Introduction tive for more expensive phones, while smaller and less
expensive phones receive very few upgrades. Figure 1
shows the tracking of a new model launched by the top
Smartphone batteries deteriorate over time, and two smartphone manufacturers, Apple, and Samsung.
manufacturers often separate the sale of hardware Figure 1a shows the track record of the new iPhone
from accessories, such as chargers, to prevent easy re- model at the time it was released, while Figure 1b is for
placement. New product launches often lack notable the Samsung Galaxy A series. Both companies are con-
features, despite introducing fancier models. Manufac- stantly producing models that are commonly regarded
turers also focus on software and operating systems, as superior to the prior item. Because there is a newer
providing support for distributors and consumers in and better version with all the newest technology, this
patching and updating. However, support is limited to renders the earlier version outdated.
certain years and more directed towards highly sold Note the steepness of the trendline in both graphs in
products. New phone models typically receive only Figure 1. If the steepness of the trendline indicates the
a few software updates before becoming “no longer use of planned obsolescence in products, then Apple
supported,” with larger manufacturers offering the uses it more aggressively for the iPhone than Samsung
best-case scenario. This strategy is particularly effec- for the Galaxy A.
Apple has faced accusations of using a planned
Corresponding author: Indrawati – Telekomunikasi Street
obsolescence strategy for its iPhone products, leading
No 1 Bandung, Indonesia, 40288 , phone: +62 813-2192-2742, to a public apology in December 2017. Critics argue
e-mail: indrawati@telkomuniversity.ac.id that Apple intentionally designs software updates
c 2024 The Author(s). This is an open access article under the that slow down older devices, making them less func-
CC BY license (http://creativecommons.org/licenses/by/4.0/) tional and less desirable to consumers. The iPhone 7

Volume 15 • Number 2 • June 2024 25

Indrawati et al.: Towards a Unified Model of Planned Obsolescence and Innovation Adoption in Consumer Behavior . . .

(a) iPhone from Apple

(b) Samsung products Galaxy A series

Fig. 1. Tracking of new product release for, (a) iPhone from Apple, and (b) Samsung products Galaxy A series

and 7 Plus were designed without a headphone jack, The regularly successive launches of new models have
and the iPhone X introduced a new facial recognition also impacted smartphone prices. Prior to launching a new
feature that made certain features less user-friendly. model, consumers are invited to participate in what is
A study by Greenpeace revealed that the average called a “pre-launch offering.” In the pre-launch, a limited
smartphone lifespan has decreased from 4.7 years in number of new models are set aside for the most loyal
2014 to 2.7 years in 2020, with 80% of the environ- customers’ disposition. They can have the product while
mental impact occurring during production. A survey the product itself is not on the market yet. It triggers the
by the Consumer Reports National Research Center social discrepancy among loyalists and less loyalists to the
found that 8 out of 10 smartphone users upgrade due brand. The strategy commonly worked. Apparently, the
to outdated features, faster phones, better cameras, manufacturers play around with the depreciation of the
or longer battery life. Samsung faced criticism for its new model months after it launches. A sketch from GSM
use of planned obsolescence in 2017 and a class-action Arena shows how prices dropped over the months following
lawsuit in the US. the first introduction of the product to the market.

26 Volume 15 • Number 2 • June 2024

 Management and Production Engineering Review

Planned obsolescence is a business strategy in which Literature review

a product is designed and manufactured with a lim-
ited lifespan or with features that become obsolete
quickly, resulting in the need for consumers to pur- The literature review consists of two critical theories:
chase a new version of the product. This strategy can planned obsolescence theory and innovation adoption
increase sales and profits for companies, as consumers theory. This study reviews 23 references on planned
are more likely to purchase newer versions of products obsolescence theory dated from 1993 to 2022 and 21
that they perceive as outdated or no longer functional. references on innovation adoption theory dated from
The decision to purchase a new version of a product 1943 to 2021. They are depicted in the following sub-
is often influenced by a variety of factors, including paragraphs:
the perceived need for the new features or improved
performance, the desire to stay current with the latest Theory of planned obsolescence
technology, and the availability of affordable pricing
or promotional offers. Companies often use market- Twenty-three references are examined to describe
ing techniques to encourage consumers to upgrade to the theory of planned obsolescence. The list of refer-
the latest version of their products, such as advertis- ences is tabulated in Table 1. The list is not exhaustive,
ing the new features or offering trade-in programs for but it covers the entirety of the materials needed to
older models. However, the practice of planned obsoles- answer the research questions. The articles explore
cence has been criticized for its negative impact on the various topics related to consumer protection, planned
environment and consumer finances. By creating prod- obsolescence, engineering, product design, environmen-
ucts with a limited lifespan, companies contribute to tal technology, sanitary engineering, waste manage-
the growing problem of electronic waste and promote ment, and marketing strategies. It also discusses the
a culture of disposable consumerism. Additionally, con- impact of planned obsolescence on consumer behavior,
sumers may feel pressured to continually upgrade their demand, and sustainable development. The article also
products, even if their current version is still functional, examines smartphone obsolescence, repairability, and
leading to unnecessary spending and financial strain. big data analysis.
Overall, the relationship between planned obsolescence The text explores business ethics, consumer behavior
and the decision to purchase a new version of a prod- in the cellular phone market, product obsolescence, sus-
uct is complex and influenced by a variety of factors. tainability, emerging markets, innovation, marketing,
While the practice can benefit Planned obsolescence, consumer psychology, social change, and information
the practice of intentionally designing products with economics.
a limited lifespan, has become a controversial topic in Multiple definitions are derived from the articles;
the electronics industry. however, the general agreement on the definition of
all the articles is: “Planned obsolescence is a deliberate
This study intends to enlighten the controversy from design strategy involves intentionally making products
user or customer perspectives by using the decision or services obsolete or unusable, affecting consumer
factors that Venkatesh’s theory offers (Venkatesh et purchase decisions and societal impact. This strategy
al., 2016). It is expected to answer whether Venkatesh can be used to stimulate demand for new products
theory can be extended to the condition where cus- or to reduce the value of older products, resulting in
tomers’ purchase conditions are dynamic and where an obsolescence effect on past sales.” The keywords
the incentive for this dynamism is planned by the man- are “design strategy”, “obsolete”, “consumer purchase
ufacturer. It will contribute to the theoretical basis of decision”, and “societal impact”.
the purchase decision that has to be made in a mar- Theoretically, planned obsolescence covers multi-
ket where information is unlimited but burdensome ple aspects. Those are the social practice aspect, the
and influencers are the main drivers in such an over- marketing aspect, the environmental aspect, business
whelming market. It leads to the following research ethics, the circular economy aspect, and the planning
questions: 1) What components constitute the con- aspect of planned obsolescence.
struct of planned obsolescence? 2) What components
constitute the construct of ‘innovation, diffusion of in-
Social practice aspect
novation, and consumer behavior model? and 3) How
are these two constructs unified to describe the in- Waldman (1993) presents a new perspective on
tention to buy the next version of a product in the planned obsolescence, arguing that consumers may
smartphone market? have imperfect information about product durability or

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Indrawati et al.: Towards a Unified Model of Planned Obsolescence and Innovation Adoption in Consumer Behavior . . .

quality. The author develops a model of a monopolist The study finds that publishers revise editions more
selling a durable good to consumers uncertain about frequently when competition from used textbooks in-
its durability, showing that the monopolist may reduce creases, suggesting the presence of planned obsoles-
the product’s durability to signal its high quality and cence. Other factors, such as technological change and
increase profits. Maycroft (2009) identifies three main product differentiation, also influence the introduction
types of planned obsolescence: technological, stylistic, of new products. Soto Pineda & Prada Salmoral (2017)
and superfluous. Technological obsolescence involves discuss planned obsolescence, a business strategy that
the use of fragile components that cause products to makes products or services outdated or unusable af-
malfunction or become obsolete, while stylistic obso- ter a certain period. They argue that this practice
lescence appeals to changing tastes and preferences. violates loyalty, good faith, consumer rights, and com-
Superfluous obsolescence involves the overelaboration petition laws. They propose solutions such as increas-
of products with unnecessary features or functions, re- ing transparency, enhancing reparability, extending
quiring additional consumption of goods and services warranties, and promoting sustainability. Margarita
to maintain them. The author discusses the social & Vargas (2017) review the origins and impacts of
and environmental impacts of planned obsolescence, planned obsolescence, arguing that it stimulates inno-
such as consumer dissatisfaction, increased costs, re- vation and creates jobs but also has negative effects like
source depletion, pollution, and waste disposal prob- increased waste, pollution, poverty, and consumer dis-
lems. The author calls for more awareness and resis- satisfaction. They call for a better business model that
tance to planned obsolescence and suggests alterna- balances producer and consumer interests while pro-
tives like product durability, repairability, adaptability, tecting the environment. Niklewicz-Pijaczyńska et al.
and recyclability. Cooper (2004) argues that product (2021) discuss planned product aging (PPA), which can
obsolescence is a result of complex interactions be- be beneficial for sustainable development by stimulat-
tween consumers, producers, and society. The author ing innovation, reducing environmental impacts, and
calls for more research on consumer attitudes and be- increasing social welfare. They propose a framework
haviors towards product life spans and collaboration to evaluate PPA’s effects on economic, environmental,
between stakeholders to promote sustainable consump- social, and institutional dimensions and present ex-
tion patterns. Karakuş Umar & Beyaz (2021) examine amples from various sectors. They conclude that PPA
planned obsolescence, the deliberate design of products can be a viable strategy for sustainable development
with a limited lifespan or functionality, and its effects but requires careful analysis and implementation to
on consumers and society. They argue that planned avoid negative consequences.
obsolescence can be a trap set for consumers or a strat-
egy for social development. They suggest consumers
should be aware of their rights and responsibilities, Environmental aspect
and producers should adopt sustainable practices.
Planned obsolescence has an impact on the envi-
ronment. Cooper (2004) suggests that consumers can
Marketing aspect
help reduce appliance waste by choosing durable prod-
The most addressed aspect of planned obsolescence ucts, using them efficiently, and repairing them when
is marketing. Utaka (2000) investigates the marketing possible. Rivera & Lallmahomed (2016) explore the en-
activities of a durable goods monopolist that have vironmental implications of planned obsolescence (PO)
an obsolescence effect on products sold in the past. and product lifetime, highlighting the importance of
The study uses a two-period model and assumes that considering these factors in sustainable engineering.
the monopolist can stimulate consumer demand for Malinauskaite & Erdem (2021) argue that current EU
second-period products through marketing activities. legal measures are insufficient to address planned obso-
Cooper (2004) explores product obsolescence, focus- lescence, arguing that a holistic approach considering
ing on household appliances and their environmental demand, supply, and environmental aspects is needed.
and social implications. Data from surveys and focus They propose an EU measure that outlaws planned
groups on the UK reveals consumer attitudes and be- obsolescence in the context of the circular economy,
haviors toward appliance life spans, with factors such extending warranties, enhancing consumer rights, im-
as cost, quality, performance, convenience, fashion, and posing fines, and sanctions, and promoting eco-design
social norms influencing decisions. Iizuka (2007) exam- and repairability. The article concludes that planned
ines the decision to introduce new products by durable obsolescence is not inevitable and a legal framework
goods producers, also known as planned obsolescence. supporting a circular economy can help prevent it.

28 Volume 15 • Number 2 • June 2024

 Management and Production Engineering Review

Business ethics effects of three cognitive biases: the bandwagon ef-

fect, optimism bias, and present bias. Kuppelwieser
Giaretta (2005) explores the link between product
et al., (2019) examined how customers perceive and
innovation and business ethics in the context of global
react to planned obsolescence, a marketing strategy
competition. The author proposes an ethical model
that aims to reduce the value of older products and
based on slowness, which promotes creativity, quality,
encourage customers to buy newer ones. The results
customer satisfaction, and social and environmental
showed that planned obsolescence negatively affects
responsibility. Giaretta (2005) provides examples of
customers’ value perception and willingness to pay
companies that have adopted slowness as a strate-
for both product categories. The study concludes that
gic value, achieving market success. Maycroft (2009)
planned obsolescence is a risky marketing strategy
discusses the negative social and environmental con-
that can backfire on companies by harming customers’
sequences of planned obsolescence, including reduced
value perception and willingness to pay. Maulia &
consumer choice, increased costs, waste generation,
Halimatussadiah (2018) and Sjöstrand et al. (2022))
and resource depletion. The author suggests ways to
conducted studies on the factors influencing the lifes-
challenge planned obsolescence and promote sustain-
pan of cellular phones in Indonesia and Sweden. They
able consumption patterns.
used a survey of 1,030 respondents to analyze consumer
behavior and preferences in the cellular phone market.
Circular economy aspect The results showed that the average lifespan of cellular
Wieser (2016) discusses the concept of planned ob- phones in Indonesia is 2.5 years, which is shorter than
solescence and its implications for a circular economy, the global average of 4.7 years. The main reasons for
which is an economic system that aims to minimize changing phones are functional obsolescence and psy-
waste and maximize resource efficiency. The author chological obsolescence. Subjective considerations such
argues that planned obsolescence is not only a strategy as social status and fashion trends also significantly
to increase profits and stimulate consumption but also reduce the phone’s lifespan. Most consumers do not
a response to changing consumer preferences, tech- recycle or donate their old phones, either keeping them
nological innovations, and environmental regulations. at home or selling them to informal collectors. The
The author also identifies some of the challenges and authors concluded that obsolescence is not only an
opportunities for extending product lifespans and pro- issue for manufacturers but also a responsibility for
moting a circular economy, such as the need for better consumers. They suggested policy recommendations to
information, incentives, standards, and regulations, promote sustainable consumption and production of
as well as the potential for innovation, collaboration, cellular phones, such as providing incentives for recy-
and social change. The author concludes that planned cling, raising environmental awareness, and encourag-
obsolescence is not inevitable but rather a result of ing ethical and green marketing. The study concluded
complex interactions between producers, consumers, that planned obsolescence in smartphones challenged
and institutions, and that a circular economy requires sustainable consumers’ identity and values, suggesting
a systemic and holistic approach that considers the en- manufacturers and policymakers should consider their
vironmental, social, and economic impacts of product needs and preferences and promote more sustainable
design and use. alternatives.

Customer perspective aspect Planning aspect of planned obsolescence

The study by Fels et al. (2016) found that technical In many respects, planned obsolescence is the pro-
failures, outdated design, changing customer needs, ducer’s initiative. Zolghadri et al. (2018) developed
and new technologies are the most common reasons a Bayesian model to predict product obsolescence us-
for product obsolescence. Echegaray (2016) found that ing historical data and expert knowledge. They ap-
urban Brazilians perceive and cope with product ob- plied the model to an aircraft component case study
solescence in electronics, which affects sustainability and demonstrated its usefulness for decision making
and e-waste management. Consumers do not expect and risk management. Gecit (2020) analyzed the term
their devices to last long but are not very dissatisfied planned obsolescence, a strategy of intentionally mak-
with their shortened lifespan. Due to psychological ing products with a limited lifespan to boost demand
obsolescence and the loss of symbolic appeal, they and consumption. They identified 28 keywords related
replace their equipment before it breaks down. Mon- to planned obsolescence and grouped them into five
teiro (2018) investigated how planned obsolescence clusters: durability, sustainability, waste, product per-
affects consumer purchase decisions, focusing on the ishability, and consumer culture/environmental aware-

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Table 1
List of examined references

Year of
No Author Article Category Includes
Publication
Economics;
Industrial Organization;
1 1993 Waldman, M. (1993) Product Design;
Consumer Behavior;
Information; Economics
Durable goods monopoly;
2 2000 Utaka, A. (2000) Marketing activities – obsolescence effect;
Consumer demand – product innovation
Product obsolescence – Psychological aspects; Consumer
3 2004 Cooper T. (2004) behavior –
Consumer satisfaction – Product obsolescence
Business Ethics;
4 2005 Giaretta, Elena (2005) Product Innovation;
Sustainable; Development
Planned obsolescence – consumer behavior and demand;
5 2007 Izuka, T. (2007) Durable goods and their pricing strategies;
Product innovation – market competition & entry
Environmental; Sociology;
Planned obsolescence – consumer culture;
6 2009 Maycroft, N. (2009) Planned obsolescence – environmental issues;
Planned obsolescence – product design;
Planned obsolescence – social change
Environmental technology;
7 2016 Wieser, H. (2016) Sanitary engineering;
Waste management and disposal
Product obsolescence;
Social media analysis;
8 2016 Fels & Schmitt (2016)
Customer perception;
Product life cycle
Consumer behavior-product obsolescence;
Product obsolescence – sustainability;
9 2016 Echegaray, F. (2016)
Product obsolescence – emerging markets;
Product obsolescence – innovation
Planned obsolescence;
Rivera & Lallmahomed Product lifetime;
10 2016
(2016) Environmental impact;
Sustainable engineering
Law;
Soto Pineda, & Prada Consumer protection;
11 2017
Sal moral (2017) Planned obsolescence;
Sustainability
Marketing strategies – consumer behavior;
Margarita & Vargas
12 2017 Scholarly communication – digital humanities;
(2017)
Legal aspects-environmental impacts
Marketing;
Consumer behavior;
13 2018 Monteiro (2018) Planned obsolescence;
Cognitive biases
Continued on the next page

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 Management and Production Engineering Review

Continued from the previous page

Year of
No Author Article Category Includes
Publication
Consumer behavior – attitudes toward planned
obsolescence;
The environmental and social impacts of planned
obsolescence;
Kuppelwiesera, et al.
14 2018 The ethical and legal implications of planned
(2018)
obsolescence;
The marketing strategies and innovation
opportunities of planned
obsolescence
15 2018 Zolghadri et al. (2018) Obsolescence management
Consumer behavior in the cellular phone market;
Product obsolescence and lifespan of cellular phones;
Maulia &
16 2018 Panel regression and Common Effect Model (CEM)
Halimatussadiah (2018)
for data analysis
Indonesia as a case study of a developing country
Circular economy;
Sustainable consumption;
17 2020 Gecit (2020) Consumer behavior;
Product life cycle;
Environmental impact;
Engineering;
Niklewicz-Pijaczynska Product design;
18 2021
et al. (2021) Planned obsolescence;
Sustainability
Industrial Management;
Business ethics – consumer behavior;
Product design – innovation;
19 2021 Karakus & Beyaz(2021)
Sustainability – circular economy;
Marketing- consumer psychology;
Social change – development
Smartphone obsolescence – consumer behavior;
Smartphone repairability-consumers perceive and
value repair options;
Makov, & Fitzpatrick Big data analysis-a large dataset of ¡Phone
20 2021
(2021) benchmarking test scores
and online search trends to examine smartphone
performance and
consumer interest in repair
Business and Management;
Consumer Behavior;
21 2022 Sjostrand et al., (2022) Sustainability;
Planned Obsolescence;
Smartphones
22 2022 Liu & Zhao (2022) Obsolescence management
Malinaauskalite &
23 2021 Planned Obsolescence in Legal and Economy
Erdem (2021)

ness. Makov & Fitzpatrick (2021) investigated factors deteriorate rapidly over time, but the testing frequency
influencing smartphone lifespans and consumer interest varies substantially. The authors suggest that sustain-
in repair using a big-data approach. They found that ability advocates should focus on the performance of
the objective performance of smartphones does not devices over time instead of their rapid decline. They

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Indrawati et al.: Towards a Unified Model of Planned Obsolescence and Innovation Adoption in Consumer Behavior . . .

conclude that non-technical aspects play a critical role business models that first target a niche market but
in determining smartphone lifespans and that novel ultimately displace established market leaders. Disrup-
datasets can improve our understanding of issues such tive innovations can present chances for new entrants
as planned obsolescence and repair. or challengers since they are challenging for established
Karakuş Umar & Beyaz (2021) conducted interviews organizations to understand, value, and invest in. The
with 21 experts from various fields to understand the definition, applicability, dynamics, and ethical implica-
perspectives on planned obsolescence. They found two tions of the paper have drawn criticism. Some scholars
main approaches: one viewed it as a necessary and ethi- have questioned the generalizability of disruptive inno-
cal concept for social, economic, technological, and eco- vations and the validity and reliability of the criteria
logical development, benefiting consumers through in- used to categorize advances as sustaining or disruptive.
novation, lower prices, and higher quality products and
services. The other criticized it as harmful and unethi- Diffusion of innovation
cal, exploiting consumers, wasting resources, polluting
the environment, and encouraging crime. The authors In their 1943 study on the diffusion of hybrid
concluded that planned obsolescence is a complex and seed corn in Iowan villages, Ryan and Gross dis-
controversial concept with both positive and negative covered an S-shaped curve in adoption rates that
impacts on society. They suggest further research to was impacted by elements such as comparative
understand its effects on stakeholders and develop ap- advantage, compatibility, complexity, trialability, and
propriate regulations and policies. Liu & Zhao, (2022) observability. In his 1986 article, Eveland argues that
proposed a novel method for forecasting product obso- technology is a dynamic process involving numerous
lescence using an improved radial basis function neu- actors, settings, and interactions. He then examines
ral network. They applied their method to real-world the difficulties in transferring and adopting new
cases and found it to have higher accuracy and better technologies in businesses, urges enterprises to take
generalization ability compared to other methods. a more comprehensive approach to comprehending
and managing technological innovation, and advocates
Theory of innovation, diffusion of innovation, for increased study and interaction between academics
and consumers behavior model and practitioners (Ryan & Gross, 1943). The chasm
notion, first proposed by Schirtzinger, describes the
This section discusses innovation theory and its challenge of bringing high-tech products from early
relationship to consumer behavior. This section ex- adopters to mainstream consumers. The dissemination
plores the concepts of diffusion of innovation theory, of innovations is covered by Rogers Everett (1995),
technology management, and technological innovation. who focuses on diffusion’s components, the history
It discusses the role of social psychology, cognitive of diffusion research, criticisms, the genesis of
psychology, and applied psychology in understanding innovations, and the innovation-decision process.
and implementing disruptive technologies. It also dis-
cusses the importance of information systems theory Innovation and perceived obsolescence
and the UTAUT2 model in assessing and managing
obsolescence risks, implementing ERP systems, and Ajzen & Fishbein (2000) re-examine the reasoned ac-
understanding consumer behavior in information sys- tion perspective, which assumes that people’s attitudes
tems. The following is the grouping of the articles in are based on their beliefs and guide their behavior.
Table 2 into four critical aspects of innovation and ob- The authors argue that this perspective can account
solescence: Innovation: disruptive innovation, diffusion for both reasoned and automatic processes in attitude
of innovation, innovation and perceived obsolescence, formation and expression. They discuss how the num-
and innovation adoption model. ber and types of beliefs that influence attitudes depend
on the motivation, ability, and context of the person.
Innovation: disruptive innovation They also show how the reasoned action perspective
is compatible with evidence for automatic activation
In his 1997 paper “The Innovator’s Dilemma When of attitudes and behaviors and how attitudes can vary
New Technologies Cause Great Firms to Fail,” Clay- with the context in which they are expressed. They
ton M. Christensen established the idea of disruptive conclude by discussing the implications of their per-
innovation and its consequences for corporate strategy spective for the attitude-behavior relationship and the
(Christensen, 1997). The essay makes the case that role of habit in human behavior. Perceived obsoles-
established businesses frequently struggle to adapt to cence is when a person is persuaded into replacing
disruptive innovations, which are new technology or an item before the old one has lost its functionality.

32 Volume 15 • Number 2 • June 2024

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To summarize Ajzen and Fishbein’s discussion of the consumers. The author also recommends that internet
attitude-behavior relation, which is the link between banking providers should increase the level of trust and
what people think and feel about something and what self-efficacy among consumers by providing security
they do about it, the relationship to perceived obsoles- features, privacy policies, customer support, and user-
cence is that people’s attitudes, norms, and perceived friendly interfaces. The authors imply that internet
control can influence their intentions to buy new prod- banking in Jordan is not obsolete but rather has the
ucts, even if the old ones are still functional. potential for growth and improvement if the factors
Ferlie et al. (2001) explore the diffusion and adoption affecting consumer adoption are addressed properly.
of evidence-based medicine (EBM) in clinical practice, The article by Alalwan et al. (2015) is relevant to
focusing on four clinical areas: acute myocardial in- the topic of the obsolescence of internet banking in
farction, glue ear, low back pain, and duodenal ulcer. Jordan, as it provides insights into the current state
They identify factors influencing EBM uptake, such and prospects of internet banking in the country. It
as evidence nature, adopter characteristics, opinion also contributes to the literature on internet banking
leaders, organizational culture, and the external envi- adoption by extending the TAM model with additional
ronment. Challenges include the gap between research variables that reflect the specific context of Jordan.
and practice, the variability of clinical practice, resis- Brock et al. (2019) discuss obsolescence in system
tance to change, and ethical and political implications. design, which refers to the loss of utility or value of
The article has an implication for perceived obsoles- a system due to changes in technology, environment, or
cence in healthcare, where EBM can create pressure user needs. They propose a framework based on three
for healthcare professionals to adopt new practices dimensions: type, timing, and impact. The authors
and discard old ones, even when the evidence is not provide a case study of a satellite system to illustrate
conclusive or relevant. External factors, such as po- how obsolescence can be analyzed and mitigated using
litical agendas, economic interests, and professional their framework. They identify sources and drivers
power, may not reflect the best interests of patients of obsolescence, such as technology evolution, launch
or practitioners. The authors highlight the complexity delays, and changing user demands, and use value-
and diversity of organizational behavior and studies centric design (VCD) tools to model and analyze the
in health care, calling for more critical and reflexive effects on the system’s value. In short, Brock et al.
approaches to EBM and organizational change. Kim (2019) contribute to the literature on obsolescence
(2021) develops a mathematical model of consumer in system design by providing a comprehensive and
demand, where firms aim to maximize their profit from systematic approach for addressing obsolescence issues
consumers who enjoy network benefits from updated throughout the system lifecycle.
products, but also incur switching costs when they The parallelism between perceived obsolescence and
upgrade. The author shows that perceived obsoles- new technology can be drawn from the work of Li,
cence can be an effective strategy for firms, but it (2020). Li explores the adoption of blockchain tech-
also has some drawbacks and limitations. For example, nologies, which offer data integrity, security, decentral-
perceived obsolescence can increase the market share ization, and reliability, in various industries. However,
and profit of the firm, but it can also reduce consumer rapid market innovation and competition may hin-
welfare and social welfare. Moreover, perceived obsoles- der widespread adoption. Factors influencing adoption
cence can be effective depending on the characteristics include perceived usefulness, ease of use, cost, trust,
of the product, the market, and the consumers. The social influence, and facilitating conditions. If the hy-
author provides some criteria and examples to help potheses to test these relationships and test the impact
firms decide whether perceived obsolescence is a viable of these factors on blockchain adoption intention fail,
strategy for them. Alalwan et al. (2015) can be sug- due to the failure of those perceived factors, then the
gested to relate to the obsolescence of internet banking adoption fails as well.
in Jordan in the following ways: The authors find that
hedonic motivation, habit, self-efficacy, and trust have Innovation adoption model
significant effects on the behavioral intention to use
internet banking, along with the traditional Technol- Studies by Venkatesh et al. (2012, 2016) focused on
ogy Acceptance Model (TAM) variables of perceived consumer acceptance and use of information technol-
usefulness and perceived ease of use. The authors sug- ogy, suggested a unified theory of acceptance and use of
gest that internet banking providers in Jordan should technology (UTAUT) model that can help researchers
focus on enhancing the hedonic aspects of internet and practitioners understand the factors that influence
banking, such as enjoyment, fun, and pleasure, as well users’ decisions to adopt or reject these technologies
as fostering the habit of using internet banking among these technologies, as well as their post-adoption be-

Volume 15 • Number 2 • June 2024 33

Indrawati et al.: Towards a Unified Model of Planned Obsolescence and Innovation Adoption in Consumer Behavior . . .

Table 2
The list of references used

Year of
No Author Article Category Includes
Publication
Sociology;
1 1943 Ryan and Gross (1943)
Diffusion of innovations theory
Technology Management;
2 1986 Eveland (1986) Technological Innovation;
Diffusion and Implementation of Technology
Innovation adoption;
Technology Marketing;
3 1989 Schirtzinger (1989) Market segmentation;
Product lifecycle;
Business strategy
Sociology;
Psychology;
4 1995 Rogers (1995)
Economics;
Business
5 1997 Christensen (1997) Disruptive technologies
Social psychology;
Ajzen and Fishbein
6 2000 Cognitive psychology;
(2000)
Applied psychology
Evidence-based medicine;
7 2001 Ferlie et al. (2001) Organisational change;
Health care.
Innovation studies;
Technology adoption;
8 2003 Rogers (2003) Social change;
Social networks;
Diffusion processes
Greenhalgh et al. Innovation;
9 2004
(2004) Health service
van Raaij and Schepers
10 2008 Educational technology
(2008)
Venkatesh, Thong, and Information system;
11 2012
Xu (2012) UTAUT model
Obsolescence risk assessment;
Obsolescence forecasting;
12 2013 Baker (2013)
Obsolescence management strategy selection;
Obsolescence management implementation
13 2014 Hwang (2014) ERP systems adoption
14 2015 Alalwan et al. (2015) Internet banking
Information Technology Management;
15 2015 Marchek (2015)
Technology Innovation – Obsolescence.
Venkatesh, Thong, and Information systems theory;
16 2016
Xu (2016) UTAUT2 model
17 2019 Brock et al. (2019) Obsolescence in system design

Continued on the next page

34 Volume 15 • Number 2 • June 2024

 Management and Production Engineering Review

Continued from the previous page

Year of
No Author Article Category Includes
Publication
Permana and Indrawati
18 2020 Continuance intention of customers
(2020)
Information systems; Management science;
19 2020 Li (2020)
Computer science and engineering
Information systems;
Tamilmani, Rana, and Technology adoption;
20 2021
Dwivedi (2021 Consumer behavior;
Meta-analysis UTAUT2 model
Mathematical model of Perceived
21 2021 Kim (2021)
Obsolescence

haviors and outcomes. They proposed an extension al. (2021) examine the factors that influence consumer
of UTAUT to UTAUT2, which includes three new acceptance and use of information technology using
constructs: hedonic motivation, price value, and habit. UTAUT2 as a framework. One of the factors is hedonic
They also examined how age, gender, and experience motivation, which is the fun or pleasure derived from
moderate these constructs’ effects on behavioral in- using a technology. This factor may hypothetically
tention and technology use. UTAUT2 explains more relate to perceived obsolescence, as consumers may
variance in behavioral intention and technology use seek new technologies that offer more enjoyment or
than UTAUT, with significant moderating effects of satisfaction than their existing ones. However, the au-
individual differences. Hedonic motivation refers to thors do not explicitly mention perceived obsolescence
the intrinsic enjoyment or pleasure derived from using as a concept or a variable in their analysis.
a technology. The authors argue that hedonic motiva-
tion may play a significant role in influencing users’ Method: Stimulus-Organism-Response
perceptions of obsolescence, as users may seek new (S–O–R) approach
technologies that offer more fun, excitement, or nov-
elty than their current ones. The article also suggests A psychological theory called stimulus response the-
that hedonic motivation may interact with other deter- ory explains how the interactions between stimuli and
minants of UTAUT, such as performance expectancy, responses can affect learning and behavior. A stimulus
effort expectancy, social influence, and facilitating con- is anything that can trigger a reaction, such as a sound,
ditions, to affect user acceptance and use of technology. a smell, or a touch. A response is the reaction that follows
The article relates to perceived obsolescence by dis- the stimulus, such as a movement, a feeling, or a thought.
cussing how UTAUT can be applied to study the adop- According to stimulus response theory, the strength of
tion and use of emerging technologies that may create the connection between a stimulus and a response de-
a sense of obsolescence among users, by incorporating pends on several factors, such as the frequency, intensity,
hedonic motivation as a determinant of user inten- and timing of the stimulus, and the consequences of
tion and behaviors that may influence users’ percep- the response. Some responses are innate, meaning they
tions of obsolescence, and by comparing UTAUT with are not learned but rather reflexive or instinctive. For
other models and theories of technology acceptance instance, when we touch something hot, we immedi-
and use that may also address the issue of perceived ately remove our hands. This is an innate response to
obsolescence. Permana & Indrawati (2020) modified a painful stimulus. Other responses are learned, mean-
the UTAUT2 model to include lifestyle compatibility ing they are acquired through experience and practice.
and trust as factors influencing mobile payment ser- Stimulus-response theory has been applied to various
vice continuance intention in Indonesia. The modified fields of psychology, such as behaviorism, learning theory,
model had better explanatory power than the origi- and cognitive psychology. It has also been used to explain
nal model, with lifestyle compatibility and trust being various phenomena, such as habits, phobias, addictions,
significant predictors of continuance intention. The and emotions. Stimulus-response theory can help us un-
authors suggest future research should compare the derstand how we learn from our environment and how
modified UTAUT2 model with other frameworks to we can change our behaviors by manipulating the stimuli
assess its validity and generalizability. Tamilmani et and responses that influence us.

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Indrawati et al.: Towards a Unified Model of Planned Obsolescence and Innovation Adoption in Consumer Behavior . . .

The stimulus-organism-response (S–O–R) model is to product attachment. Kim et al. (2020) found that
a development of the stimulus-response theory and authentic VR experiences significantly impact cogni-
is a psychological framework that explains how stim- tive and affective responses, and attachment to VR
uli, organism variables, and responses affect behaviors. influences visit intention. Zhu et al. (2019) found that
Stimuli are living things’ dynamic perceptions of their website quality, trust, and e-service quality positively
surroundings, which they then translate into receptive affect satisfaction and perceived value, which in turn
fields, neuronal rings, or abstractions. Adaptive predic- affects repurchase intention. Zhao et al. (2020) pro-
tion is made easier by the dynamic element known as pose a stimulus-organism-response model for massive
the mediator between inputs and reactions. According open online course (MOOC) users, suggesting that
to the theory of dynamical systems, an organism’s providers should improve the technological environ-
behavior and interactions with its surroundings define ment and enhance the virtual experience to retain and
a state in its trajectory. Responses in a system can be attract users.
straightforward abstractions or complex descriptions
that include readjustment, recalibration, and adap-
tation to changing stimulus parameters, leading to Materials & Methods
new system states that reflect into the environment
(Young, 2016). The diagram of S–O–R is depicted in
The literature review synthesizes 23 references on
Figure 2. Figure 2 shows the S–O–R causal psycho-
planned obsolescence theory and 21 references on in-
logical model. This figure presents an expanded S–R
novation adoption theory, spanning from 1993 to 2022
(stimulus–response) model of behavior that includes
and 1943 to 2021, respectively. The review encom-
organismic (person, O) mediational components. The
passes various facets of planned obsolescence, including
model is referred to as the S–O–R one, with added sub-
social practices, marketing strategies, environmental
components expanding the O portion (S–O–R model).
impacts, business ethics, circular economy considera-
The S–O–R framework has been discussed in several tions, and planning aspects. It underscores the multi-
cases. Jacoby, (2002) presents an integrative stimulus- dimensional nature of planned obsolescence, shedding
organism-response framework for consumer consumer light on its effects on consumer behavior, sustainability,
behavior modeling, incorporating evolutionary psychol- and societal development.
ogy, cognitive neuroscience, and behavioral genetics.
The framework acknowledges environmental and situ-
ational factors as stimuli, as well as the diversity and Results
complexity of consumer responses. Islam & Rahman
(2017) explore the influence of online brand communi-
ties (OBCs) on customer engagement (CE) using the Application of S–O–R framework to unifica-
stimulus-organism-response (SOR) paradigm. Wu & tion of planned obsolescence with innovation
Li (2018) study explores the impact of social commerce adoption toward consumer behavior conceptual
marketing mix on customer value and loyalty using model
the SOR framework. Cho et al. (2019) found that all Addressing research question 1, the theoretical re-
four stimuli positively affect users’ pleasure, leading view above reveals six elements that can be used to ex-
plain planned obsolescence: social practice aspect, mar-
keting aspect, environmental aspect, business ethics
aspect, circular economy aspect, and planning aspect.
Aspects of social practice: This refers to how customers
view and use things, as well as how their routines and
tastes evolve over time. To maintain their social posi-
tion or to stay up with fashion trends, some customers
would prefer to purchase new things, but others could
place a higher value on practicality and longevity. As-
pects of marketing include how manufacturers market
and advertise their goods as well as how they affect
consumer demand and expectations. To emphasize the
advantages of new features or upgrades, for instance,
or to evoke a sense of urgency or scarcity, certain
Fig. 2. The S–O–R causal psychological model (Source:
producers may employ persuasive approaches. Envi-
Young, (2016), p705, without extension parts)
ronmental aspect: This refers to how products affect

36 Volume 15 • Number 2 • June 2024

 Management and Production Engineering Review

the natural environment and how they contribute to consumers perceive that new innovation is entering
resource depletion, waste generation, pollution, and the market) act as stimuli in the S–O–R framework.
climate change. For example, some products may re- In response to research question number 2, the theo-
quire a lot of energy and materials to produce or may retical evaluation of innovation, diffusion of innovation,
be difficult to recycle or dispose of safely. Aspects of and consumers’ behavior model reveal four components
business ethics: How producers treat the rights and of the construct: disruptive innovation, diffusion of in-
interests of customers, employees, communities, and novation, innovation and perceived obsolescence, and
other stakeholders is referred to here. For instance, innovation adoption model. These four elements affect
some manufacturers might use dishonest or unfair how innovations are developed, embraced, and replaced
tactics, such as concealing flaws, cutting back on war- in the marketplace. A disruptive innovation is one that
ranties, or restricting repairs. Aspect of the circular first establishes a new market or value network, then
economy: This refers to how products can be created subverts an existing one by dislodging well-established
and managed to reduce their negative effects on the goods or services. A theory called diffusion of innova-
environment and increase resource efficiency. Some tion describes how, why, and how quickly new concepts
items, for instance, can be modified to be more robust, and innovations spread throughout social systems.
repairable, reusable, and recyclable, or they can be When buyers are convinced to replace a product
incorporated into a service or sharing system. Aspect before it has lost its usefulness because it has be-
of planning: This relates to the way manufacturers come outmoded or less desirable, this is known as
plan and carry out their product development and perceived obsolescence. A paradigm called the inno-
innovation plans. For instance, some manufacturers vation adoption model explains how various adopter
might have a long-term perspective that considers the types—including innovators, early adopters, the early
requirements and values of both the present and the majority, the late majority, and laggards—respond
future, while others might be more concerned with to innovative goods and services depending on their
immediate profits and market share. individual traits and preferences. The relationship be-
Those six aspects are the main objectives of planning tween the four components is depicted in Figure 3.
the product’s life cycle. In the case of a smart phone, Disruptive innovation has a causal effect on perceived
the six aspects play the role of external stimulus. Arriv- obsolescence, which in turn causes the diffusion of inno-
ing at the consumers, those external stimulants will be vation using mechanisms of adoption. The mechanism
perceived as novelty or innovation by the consumers. of adoption passes through two affects: cognitive and
A smart phone recognizes the following perceived fac- affective which interact with one another (Blair, et.al,
tors: Psychological (Psy), whose components are er- 2007; Cegala, 1984).
gonomic (Er), sensory quality (SQ), and changing need With references used for Figure 3 (Permana & In-
(CN), technological (Tech), and functionality (Func), drawati, 2020; Tamilmani et al., 2021; Venkatesh et
and economics (Econ), which manifest as working cost al., 2012, 2016) it further divided into Cognitive af-
(Wc), wear-out (Wo), or physical wear-out (Pwo), Ex- fect: Performance Expectancy (PE), Effort Expectancy
ternal stimulus and perceived obsolescence (because (EE), Facilitating Conditions (FC), Price Value (PV),

Fig. 3. Diagram describing the causal relationship between disruptive innovation, dissemination of innovation, innovation
and perceived obsolescence, and innovation adoption model

Volume 15 • Number 2 • June 2024 37

Indrawati et al.: Towards a Unified Model of Planned Obsolescence and Innovation Adoption in Consumer Behavior . . .

Perceived Risk (PR), Self-efficacy (Se), Personal In- 2020; Tamilmani et al., 2021; Venkatesh et al., 2012,
novativeness (PI); and Affective affect (Kim et al., 2016). This process describes how the two constructs
2020; Permana & Indrawati, 2020; Tamilmani et al., unify to describe the intention to buy the next version
2021; Venkatesh et al., 2012, 2016) Hedonic Motivation of a product in the smartphone market as raised by
(HM), Trust (T). Habit (H), Attitude (A), Enjoyment research question number 3.
(E), Emotional Involvement (EI).

Discussion
How the model in Figure 4 operates is explained by
the following case: Planned Obsolescence and Innova-
Figure 4 proposes conceptual model unifying planned tion Adoption in iPhone Cases. Apple’s product releases
obsolescence and innovation adoption toward consumer often introduce design changes. Marketing campaigns
behavior. Planned Obsolescence and innovation adop- highlight the aesthetic appeal and functionality of new
tion describe the intention to buy the next version of cases, triggering Fear of Missing Out (FOMO) and evok-
a product in the smartphone market. Consumer per- ing emotions like excitement or exclusivity. It is causing
ceptions form when manufacturers stimulate consumers consumers to consider upgrading their cases (Stimu-
with new product versions. During perception, two pro- lant). The affective process involves consumers assessing—
cesses will occur: an affective process and a cognitive hedonic motivation, habit, attitude, enjoyment, and emo-
process. These two processes will determine whether tional involvement—new features like protection, grip,
consumers will buy the next product or not. and wireless charging compatibility and comparing them
The effects of perceived obsolescence as stimulant to their existing case. The cognitive process weighs the
to use new products are translated in Figure 2 as cost of the new case against perceived benefits and the
“processing’. It has two forms: cognitive and affective. remaining lifespan of their current case—innovation adop-
An adoption model defines decision process, the tion (Organism). If the emotional appeal and perceived
model in Figure 4 can be regarded as exhaustive. The value outweigh the cost, consumers might upgrade their
cognitive and affective components are empirically case, while if the existing case remains functional, they
confirmed (Kim et al., 2020; Permana & Indrawati, might maintain it (Response).

Fig. 4. Proposed conceptual model unifying planned obsolescence and innovation adoption toward consumer behavior

38 Volume 15 • Number 2 • June 2024

 Management and Production Engineering Review

Conclusions Christensen, C.M. (1997). The Innovator’s Dilemma:

When New Technologies Cause Great Firms to Fail.
Harvard Business Review Press.
This study has proposed a unification of producer
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intends to bridge those aspects that are theoretically obsolescence in emerging markets: the case of Brazil.
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