Notice of RetractionStudy on differential pricing decisions for the product with multiple warranty periods for pro-rata policy

Notice of Retraction

After careful and considered review of the content of this paper by a duly constituted expert committee, this paper has been found to be in violation of IEEE´s Publication Principles.

We hereby retract the content of this paper. Reasonable effort should be made to remove all past references to this paper.

The presenting author of this paper has the option to appeal this decision by contacting TPII@ieee.org.

Warranty service has an important role in the product transactions. The price is related to length of warranty period of product. Considering the reality, based on the consumer utility theory, assuming free replacement policy and the product failure with Weibull distribution function, this paper studies the differential pricing issues for the product with multiple warranty periods for pro-rata policy. This paper analyzes the optimal pricing strategy, and verifies the validity of the model through the numerical analysis and analyzes the difference between differential pricing and single pricing. Then this paper analyzes the impact of the consumer shift flexibility to the benefits of manufacturers.