Development of a price indifference function with parameters of reliability, maintenance and warranty /
| Main Author: | |
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| Other Authors: | , , |
| Format: | Thesis Book |
| Language: | English |
| Published: |
1985.
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| Subjects: | |
| Online Access: | Link to OAKTrust copy |
| Abstract: | A systematic pricing scheme which relates unit purchase price to the reliability and maintainability performance of the items is developed from a situation where an item receives maintenance at failure or at fixed age, whichever occurs first. The item is assumed to be restored to the original condition after each maintenance action. This pattern is repeated over the life-time of the item. The consumer periodically receives the financial returns and pays the operating cost. Stochastic cost models are developed to derive the expected total net return during the life-time of the product, which is defined as the maximum price the consumer is willing to pay for the product. The function representing the expected total net return is defined as the consumer's price indifference function of the basic model. To enable correct comparisons of investment alternatives, the present value model in which the time value of money is considered, is developed. Warranty schemes in which the supplier offers the consumer an optional full service warranty covering all maintenance costs during the warranty period are also included in the basic and the present value models. |
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| Item Description: | Typescript (photocopy). Vita. "Major subject: Industrial Engineering." |
| Physical Description: | x, 135 leaves : illustrations ; 29 cm |
| Bibliography: | Includes bibliographical references (leaves 97-103). |