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Price-warranty length decision with Glickman-Berger model

Author

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  • Dipak K. Manna

Abstract

Product price and warranty length are the key determinants in the purchase decision of a consumer. This article deals with joint determination of these two attributes so as to maximise the profit of the manufacturer. The decision model of Glickman and Berger is shown to have an important role to play in this context, and is analysed with power law failure process in the case of one-dimensional warranty. A methodology is also proposed to extend this model for two-dimensional warranty.

Suggested Citation

  • Dipak K. Manna, 2008. "Price-warranty length decision with Glickman-Berger model," International Journal of Reliability and Safety, Inderscience Enterprises Ltd, vol. 2(3), pages 221-233.
    • Handle: RePEc:ids:ijrsaf:v:2:y:2008:i:3:p:221-233
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    Citations

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    Cited by:

    1. Wei Xie, 2017. "Optimal pricing and two-dimensional warranty policies for a new product," International Journal of Production Research, Taylor & Francis Journals, vol. 55(22), pages 6857-6870, November.
    2. Prashant M. Ambad & Makarand S. Kulkarni, 2017. "A goal programming approach for multi-objective warranty optimization," International Journal of System Assurance Engineering and Management, Springer;The Society for Reliability, Engineering Quality and Operations Management (SREQOM),India, and Division of Operation and Maintenance, Lulea University of Technology, Sweden, vol. 8(4), pages 842-861, December.
    3. Xiaolin Wang & Wei Xie, 2018. "Two-dimensional warranty: A literature review," Journal of Risk and Reliability, , vol. 232(3), pages 284-307, June.

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