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New product warranty: A literature review

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  • Murthy, D. N. P.
  • Djamaludin, I.
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    Bibliographic Info

    Article provided by Elsevier in its journal International Journal of Production Economics.

    Volume (Year): 79 (2002)
    Issue (Month): 3 (October)
    Pages: 231-260

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    Handle: RePEc:eee:proeco:v:79:y:2002:i:3:p:231-260

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    Web page: http://www.elsevier.com/locate/ijpe

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    References

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    1. Chun, Young Hak & Tang, Kwei, 1995. "Determining the optimal warranty price based on the producer's and customers' risk preferences," European Journal of Operational Research, Elsevier, vol. 85(1), pages 97-110, August.
    2. Boom, Anette, 1998. "Product risk sharing by warranties in a monopoly market with risk-averse consumers," Journal of Economic Behavior & Organization, Elsevier, vol. 33(2), pages 241-257, January.
    3. BIGELOW, J. & COOPER, R. & Tom Ross, 1988. "Warranties Without Commitment To Market Participation," Carleton Industrial Organization Research Unit (CIORU) 88-02, Carleton University, Department of Economics.
    4. Jehoshua Eliashberg & Nozer D. Singpurwalla & Simon P. Wilson, 1997. "Calculating the Reserve for a Time and Usage Indexed Warranty," Management Science, INFORMS, vol. 43(7), pages 966-975, July.
    5. Jayprakash G. Patankar & Amitava Mitra, 1995. "Effects of Warranty Execution on Warranty Reserve Costs," Management Science, INFORMS, vol. 41(3), pages 395-400, March.
    6. Lassar, Walfried M. & Folkes, Valerie S. & Grewal, Dhruv & Costley, Carolyn, 1998. "Consumer Affective Reactions to Product Problems When the Timing of Warranty Expiration Varies," Journal of Business Research, Elsevier, vol. 42(3), pages 265-270, July.
    7. Spence, A Michael, 1977. "Consumer Misperceptions, Product Failure and Producer Liability," Review of Economic Studies, Wiley Blackwell, vol. 44(3), pages 561-72, October.
    8. Kao, Edward P. C. & Smith, Marion Spokony, 1996. "Computational approximations of renewal process relating to a warranty problem: The case of phase-type lifetimes," European Journal of Operational Research, Elsevier, vol. 90(1), pages 156-170, April.
    9. Yeh, Ruey Huei & Lo, Hui-Chiung, 2001. "Optimal preventive-maintenance warranty policy for repairable products," European Journal of Operational Research, Elsevier, vol. 134(1), pages 59-69, October.
    10. Nancy A. Lutz & V. Padmanabhan, 1995. "Why Do We Observe Minimal Warranties?," Marketing Science, INFORMS, vol. 14(4), pages 417-441.
    11. Appelbaum, Elie, 1992. "Bankruptcy, Warranties and the Firm's Capital Structure," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 33(2), pages 399-412, May.
    12. Zuo, Ming J. & Liu, Bin & Murthy, D. N. P., 2000. "Replacement-repair policy for multi-state deteriorating products under warranty," European Journal of Operational Research, Elsevier, vol. 123(3), pages 519-530, June.
    13. Padmanabhan, V, 1995. "Usage Heterogeneity and Extended Warranties," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 4(1), pages 33-53, Spring.
    14. Yeh, Ruey Huei & Ho, Wen-Tsung & Tseng, Sheng-Tsaing, 2000. "Optimal production run length for products sold with warranty," European Journal of Operational Research, Elsevier, vol. 120(3), pages 575-582, February.
    15. Murthy, D. N. P. & Ravi Kumar, K., 2000. "Total product quality," International Journal of Production Economics, Elsevier, vol. 67(3), pages 253-267, October.
    16. Al-Najjar, Nabil Ibraheem, 1995. "Reputation, Product Quality, and Warranties," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 3(4), pages 605-37, Winter.
    17. Murthy, D.N.P. & Iskandar, B.P. & Wilson, R.J., 1992. "A simulation approach to analysis of free replacement policies," Mathematics and Computers in Simulation (MATCOM), Elsevier, vol. 33(5), pages 513-518.
    18. Genesove, David, 1993. "Adverse Selection in the Wholesale Used Car Market," Journal of Political Economy, University of Chicago Press, vol. 101(4), pages 644-65, August.
    19. V. Padmanabhan & Ram C. Rao, 1993. "Warranty Policy and Extended Service Contracts: Theory and an Application to Automobiles," Marketing Science, INFORMS, vol. 12(3), pages 230-247.
    20. Mann, Duncan P. & Wissink, Jennifer P., 1990. "Hidden actions and hidden characteristics in warranty markets," International Journal of Industrial Organization, Elsevier, vol. 8(1), pages 53-71.
    21. Chen, Zhiqi & Ross, Thomas W., 1994. "Why are extended warranties so expensive?," Economics Letters, Elsevier, vol. 45(2), pages 253-257, June.
    22. Polatoglu, Hakan & Sahin, Izzet, 1998. "Probability distributions of cost, revenue and profit over a warranty cycle," European Journal of Operational Research, Elsevier, vol. 108(1), pages 170-183, July.
    23. Russell Cooper & T.W. Ross, 1984. "Product Warranties and Double Moral Hazard," Cowles Foundation Discussion Papers 716, Cowles Foundation for Research in Economics, Yale University.
    24. Shiou Shieh, 1996. "Price and Money-Back Guarantees as Signals of Product Quality," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 5(3), pages 361-377, 09.
    25. Mann, Duncan P & Wissink, Jennifer P, 1990. "Money-Back Warranties vs. Replacement Warranties: A Simple Comparison," American Economic Review, American Economic Association, vol. 80(2), pages 432-36, May.
    26. Lutz, Nancy A. & Padmanabhan, V., 1998. "Warranties, extended warranties, and product quality," International Journal of Industrial Organization, Elsevier, vol. 16(4), pages 463-493, July.
    27. Jack, Nat & Van der Duyn Schouten, Frank, 2000. "Optimal repair-replace strategies for a warranted product," International Journal of Production Economics, Elsevier, vol. 67(1), pages 95-100, August.
    28. Mitra, Amitava & Patankar, Jayprakash G., 1997. "Market share and warranty costs for renewable warranty programs," International Journal of Production Economics, Elsevier, vol. 50(2-3), pages 155-168, June.
    29. Hill, Vickie Lee & Beall, Charles W. & Blischke, Wallace R., 1991. "A simulation model for warranty analysis," International Journal of Production Economics, Elsevier, vol. 22(2), pages 131-140, November.
    30. Theodore S. Glickman & Paul D. Berger, 1976. "Optimal Price and Protection Period Decisions for a Product Under Warranty," Management Science, INFORMS, vol. 22(12), pages 1381-1390, August.
    31. Edward P. C. Kao & Marion Spokony Smith, 1993. "Discounted and Per Unit Net Revenues and Costs of Product Warranty: The Case of Phase-Type Lifetimes," Management Science, INFORMS, vol. 39(10), pages 1246-1254, October.
    32. DeCroix, Gregory A., 1999. "Optimal warranties, reliabilities and prices for durable goods in an oligopoly," European Journal of Operational Research, Elsevier, vol. 112(3), pages 554-569, February.
    33. Djamaludin, I. & Murthy, D. N. P. & Wilson, R. J., 1994. "Quality control through lot sizing for items sold with warranty," International Journal of Production Economics, Elsevier, vol. 33(1-3), pages 97-107, January.
    34. Majeske, Karl D. & Lynch-Caris, Terri & Herrin, Gary, 1997. "Evaluating product and process design changes with warranty data," International Journal of Production Economics, Elsevier, vol. 50(2-3), pages 79-89, June.
    35. Mann, D.P. & Wissink, J.P., 1990. "Money-Back Warranties Vs. Replacement Warranties: A Simple Comparaison," Department of Economics Working Papers 141, Department of Economics, Williams College.
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    Citations

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    Cited by:
    1. Darghouth, M.N. & Chelbi, Anis & Ait-kadi, Daoud, 2012. "A profit assessment model for equipment inspection and replacement under renewing free replacement warranty policy," International Journal of Production Economics, Elsevier, vol. 135(2), pages 899-906.
    2. Wu, Jun & Xie, Min & Adam Ng, Tsan Sheng, 2011. "On a general periodic preventive maintenance policy incorporating warranty contracts and system ageing losses," International Journal of Production Economics, Elsevier, vol. 129(1), pages 102-110, January.
    3. Wu, Shaomin & Longhurst, Phil, 2011. "Optimising age-replacement and extended non-renewing warranty policies in lifecycle costing," International Journal of Production Economics, Elsevier, vol. 130(2), pages 262-267, April.
    4. W. Bentley MacLeod, 2007. "Reputations, Relationships, and Contract Enforcement," Journal of Economic Literature, American Economic Association, vol. 45(3), pages 595-628, September.
    5. Juergen Noll, 2003. "Does One Size Fit All? A Note on the Harmonization of National Warranty Law as a Tool of Consumer Protection," European Journal of Law and Economics, Springer, vol. 16(2), pages 219-231, September.
    6. Alejando Zegarra Saldaña & Corina Negru, 2005. "A model of the moderating effects of prior knowledge, level of education and income level on the use of extrinsic quality cues on consumers' quality assessments," Investigación & Desarrollo 0305, Universidad Privada Boliviana, revised Mar 2005.
    7. Nazzal, Dima & Batarseh, Ola & Patzner, Joshua & Martin, Darren R., 2013. "Product servicing for lifespan extension and sustainable consumption: An optimization approach," International Journal of Production Economics, Elsevier, vol. 142(1), pages 105-114.
    8. Wu, Shaomin & Akbarov, Artur, 2011. "Support vector regression for warranty claim forecasting," European Journal of Operational Research, Elsevier, vol. 213(1), pages 196-204, August.
    9. Noll, Juergen, 2004. "Comparing quality signals as tools of consumer protection: are warranties always better than advertisements to promote higher product quality?," International Review of Law and Economics, Elsevier, vol. 24(2), pages 227-239, June.
    10. Murthy, D. N. P. & Solem, O. & Roren, T., 2004. "Product warranty logistics: Issues and challenges," European Journal of Operational Research, Elsevier, vol. 156(1), pages 110-126, July.
    11. Kleyner, Andre & Sandborn, Peter, 2008. "Minimizing life cycle cost by managing product reliability via validation plan and warranty return cost," International Journal of Production Economics, Elsevier, vol. 112(2), pages 796-807, April.
    12. Appelbaum, E., 1989. "Bankruptcy, Warranties And The Firm'S Capital Structure," Papers 89-09, York (Canada) - Department of Economics.
    13. Liu, Zhi-Jie & Chen, Wei & Huang, Hong-Zhong & Yang, Bo, 2007. "A diagnostics design decision model for products under warranty," International Journal of Production Economics, Elsevier, vol. 109(1-2), pages 230-240, September.
    14. Wu, Chin-Chun & Chou, Chao-Yu & Huang, Chikong, 2009. "Optimal price, warranty length and production rate for free replacement policy in the static demand market," Omega, Elsevier, vol. 37(1), pages 29-39, February.
    15. Marc Reimann & Weihua Zhang, 2013. "Joint optimization of new production, warranty servicing strategy and secondary market supply under consumer returns," Working Paper Series, Social and Economic Sciences 2013-03, Faculty of Social and Economic Sciences, Karl-Franzens-University Graz.
    16. Wu, Chin-Chun & Lin, Pei-Chun & Chou, Chao-Yu, 2006. "Determination of price and warranty length for a normal lifetime distributed product," International Journal of Production Economics, Elsevier, vol. 102(1), pages 95-107, July.
    17. Shafiee, Mahmood & Chukova, Stefanka, 2013. "Maintenance models in warranty: A literature review," European Journal of Operational Research, Elsevier, vol. 229(3), pages 561-572.
    18. Joaqu?n Coleff, 2013. "Can consumer complaints reduce product reliability? Should we worry?," DOCUMENTOS DE TRABAJO 011038, UNIVERSIDAD DEL ROSARIO.
    19. Bouguerra, Soumaya & Chelbi, Anis & Rezg, Nidhal, 2012. "A decision model for adopting an extended warranty under different maintenance policies," International Journal of Production Economics, Elsevier, vol. 135(2), pages 840-849.

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