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Service Plan
A service plan is an optional warranty that is offered to purchasers of products for an additional fee. They provide coverage for issues not covered by a base warranty. Differences from warranties A service plan is a separate policy from the manufacturer's warranty. While the typical service plan does require preventative and routine maintenance to be taken in accordance with the manufacturer's warranty, it does not actually require a product to fail or malfunction under the same conditions. Service plans are also active from the date of purchase, unlike extended warranties, which become active when the manufacturer's warranty expires, meaning products can be purchased with service plans that is before or at the same time as the manufacturer's warranty. The key distinction is that a warranty strictly covers defects in workmanship and materials, while service plans cover product failure in general with a list of exclusions. While the exclusion list includes most situations tha ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Warranty
In law, a warranty is an expressed or implied promise or assurance of some kind. The term's meaning varies across legal subjects. In property law, it refers to a covenant by the grantor of a deed. In insurance law, it refers to a promise by the purchaser of an insurance about the thing or person to be insured. In contract law, a warranty is a contractual assurance given, typically, by a seller to a buyer, for example confirming that the seller is the owner of the property being sold. A warranty is a term of a contract, but not usually a condition of the contract or an innominate term, meaning that it is a term "not going to the root of the contract",Hogg M. (2011). ''Promises and Contract Law: Comparative Perspectives''p. 48 Cambridge University Press. and therefore only entitles the innocent party to damages if it is breached, i.e. if the warranty is not true or the defaulting party does not perform the contract in accordance with the terms of the warranty. A warranty is not ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Return Merchandise Authorization
A return merchandise authorization (RMA), return authorization (RA) or return goods authorization (RGA) is a part of the process of returning a product to receive a refund, replacement, or repair to which buyer and seller agree during the product's warranty period. Reverse logistics The issuance of an RMA/RGA is a key gatekeeping point in the reverse logistics cycle, providing the vendor with a final opportunity to diagnose and correct the customer's problem with the product. The reasons for a product return vary and include improper installation by the customer or inability to configure the product. RMA/RGA comes before the customer permanently relinquishes ownership of the product to the manufacturer, commonly referred to as a return. A return is costly for the vendor and inconvenient for the customer; any return that can be prevented benefits both parties. Returned merchandise requires management by the manufacturer after the return. The product has a second life cycle after ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Loss Leader
A loss leader (also leader) is a pricing strategy where a product is sold at a price below its market cost to stimulate other sales of more profitable goods or services. With this sales promotion/marketing strategy, a "leader" is any popular article, i.e., sold at a low price to attract customers. One use of a loss leader is to draw customers into a store where they are likely to buy other goods. The vendor expects that the typical customer will purchase other items at the same time as the loss leader and that the profit made on these items will be such that an overall profit is generated for the vendor. "Loss lead" is an item offered for sale at a reduced price that is intended to "lead" to the subsequent sale of other services or items. The loss leader is offered at a price below its minimum profit margin—not necessarily below cost. The firm tries to maintain a current analysis of its accounts for both the loss lead and the associated items, so it can monitor how well the sche ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Break/fix
The term break/fix or break'n fix refers to the fee-for-service method of providing information technology (IT) services to businesses. Using this method an IT solution provider performs services as needed and bills the customer only for the work done. The service may include repairs, upgrades or installation of systems, components, peripheral equipment, networking or software. The alternative to break/fix is managed services, which is a service plan, where the customer pays a fixed amount for services covered in the plan and pays additional amounts for repairs or other work which is not covered in the plan. The equivalent practice in the consumer market is that of out-of-warranty appliances, where the customer can pay for repairs as needed (break/fix) or they can buy an extended warranty (managed services). An advantage of break/fix IT management is the initial lower cost of maintenance. However, since problems are only addressed when they arise, maintenance is reactive rather ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |