Abstract
Remanufactured products, in addition to being environment friendly, are popular with consumers because they can offer the latest technology with lower prices in comparison to brand new products. However, some consumers are hesitant to buy remanufactured products because they are skeptical about the quality of the remanufactured product and thus are unsure of the extent to which the product will render services when compared to a new product. A strategy that remanufacturers may employ to market remanufactured products and encourage customers is to offer warranties on remanufactured products. To that end, this paper studies and scrutinizes the impact of offering renewing warranties on remanufactured products. Specifically, the paper suggests a methodology which simultaneously minimizes the cost incurred by the remanufacturers and maximizes the confidence of the consumers towards buying remanufacturing products. (C) 2017 Elsevier Ltd. All rights reserved.