THE ECONOMICS OF PRODUCT WARRANTIES

Abstract

The product warranty has become an increasingly important factor contributing to the consumer's assessment of overall product value in recent years and, in consequence, can nowadays have a significant effect on demand levels for a particular product make or brand. The warranty is in effect an “added value” component by which the manufacturer commits himself to a given level of responsibility (usually over a specific time period) for the performance of the product he sells.

Citation

Mason, R.S. (1973), "THE ECONOMICS OF PRODUCT WARRANTIES", Management Decision, Vol. 11 No. 3, pp. 159-169. https://doi.org/10.1108/eb001018