search query: @author Mamer, J. W. / total: 8
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| Author: | Mamer, J. W. |
| Title: | Discounted and per unit costs of product warranty. |
| Journal: | Management Science
1987 : JUL, VOL. 33:7, p. 916-930 |
| Index terms: | GUARANTEES RELIABILITY COST FORECASTING |
| Language: | eng |
| Abstract: | A detailed model of the costs and benefits is proposed to producers and consumers of product warranty. Three common types of product warranty contract are considered. In addition, randomes in consumer repurchase behavior and the possibility of an independent damage process acting on products sold under warranty are explicitly taken into consideration. The cost criteria considered are discounted costs and per unit costs. The model is used to analyze the trade-off between warranty and quality control, and to illustrate the sensitivity of warranty cost to environmental variables. |
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