| Title |
Economic consequences of consumer repair strategies for electrical household devices |
| ID_Doc |
25164 |
| Authors |
Brusselaers, J; Bracquene, E; Peeters, J; Dams, Y |
| Title |
Economic consequences of consumer repair strategies for electrical household devices |
| Year |
2020 |
| Published |
Journal Of Enterprise Information Management, 33, 4 |
| DOI |
10.1108/JEIM-12-2018-0283 |
| Abstract |
Purpose - The purpose of this paper is to investigate to what extent a consumer's repair strategy impacts the annual costs of ownership of a washing machine and two types of vacuum cleaner. Design/methodology/approach - The annual cost of ownership is determined by calculating the annual life cycle cost (LCC) for the respective devices. The annual LCCs of the different scenarios allow a comparison of the different repair strategy options. A Monte Carlo simulation is run to introduce parameter variability. The device's failure rate is estimated by a combination of data sets on the devices' performance. Findings - Results demonstrate that the repair of the devices considered is a more favourable option over replacement. A consumer who aims for the lowest annual LCC should allow for a high number of repairs per device, without putting a maximum on the cost per repair. However, the consumer should become more cautious when a device approaches the end of its expected lifetime. Finally, the purchase of warranty can be interesting when the warranty covers a sufficiently long proportion of the device's (expected) lifetime and when its cost does not exceed a threshold proportion of the initial purchase price. Research limitations/implications - The costs for repair might be overestimated. Future research can focus on the reduction of repair costs following self-repair. Originality/value - This is the first research to quantify the influence of consumer behaviour in the context of repair of devices on the ownership costs of these devices. |
| Author Keywords |
Household appliances; Consumer behaviour; Repair; Circular economy; Life cycle cost |
| Index Keywords |
Index Keywords |
| Document Type |
Other |
| Open Access |
Open Access |
| Source |
Social Science Citation Index (SSCI) |
| EID |
WOS:000591674700004 |
| WoS Category |
Computer Science, Interdisciplinary Applications; Information Science & Library Science; Management |
| Research Area |
Computer Science; Information Science & Library Science; Business & Economics |
| PDF |
|