Warranty is a powerful marketing tool for the manufacturer and a good protection for both the manufacturer and the customer. However, warranty always involves additional costs to the manufacturer, which depend on product reliability characteristics and warranty parameters. This paper presents an approach to optimisation of warranty parameters for known product failure distribution to reduce the...

warranty as a kind of service contract today plays a role key in business and legal transactions. in this paper, we present a manufacturer, an agent and a customer's model under different service contracts suggestions. the manufacturer's profit is maximized by determining sale price, warranty period and warranty price. in addition we obtain optimal maintenance cost or repair cost for ...

In this study we propose an approach of quantifying the risks of misinforming and malfunctioning aiming to assess the quality of a warranty policy. We identify the “quality” of a warranty policy as an integral measure, based on the balance between two types of warranty – the warranty of malfunctioning and warranty of misinforming. This measure is represented in terms of the length of the warran...

This study aims to understand the form of social action in kinship migrant informal sector vendors and values that underlie formation warranty. The research paradigm used this is definition paradigm, using a qualitative approach an ethnographic type research. technique determining subjects purposive sampling data collection techniques interview observation techniques. Data analysis interactive ...

Purpose: In this paper, the minimal repair-replacement warranty policy is used to carry out a warranty cost analysis with warranty servicing times and failure times that are statistically correlated to bivariate distributions. Methods: Based on the developed approach by Park and Pham (2012a), we investigate the property of the Freund’s bivariate exponential distribution and obtain the number of...

In this study, a new warranty service strategy is proposed and analyzed. This strategy adds the renewing free-replacement warranty to a non-repairable product sold under the rebate warranty policy. According to the renewing free-replacement warranty, the seller (manufacturer) is responsible for replacing all failed product during the warranty period, and the warranty begins anew with each repla...

For repairable items sold with free replacement warranty, the actions available to the manufacturer to rectify failures under warranty are to (1) repair the failed item or (2) replace it with a new one. A proper repair-replace strategy can reduce the expected cost of servicing the warranty. In this paper, we study repair-replace strategies for items sold with a two-dimensional free replacement ...

Along with increasing the warranty period for complex systems, reducing the warranty servicing costs has become an issue of great importance to the manufacturers. One possible way to reduce the expected warranty servicing cost is by making sound decision on the product warranty and maintenance strategies. Therefore, warranties (basic warranty and extended warranty) and maintenance (corrective a...