Effects of Warranty on Purchase Decision of Electronic Products: An Empirical Research from the Perspective of Bangladesh

Abstract

Warranty can be defined as a part of the common law system that states and assures the consumers that a product or service is fit for the purpose for which it is sold. This study focuses on effects of warranty in the purchase decision of electronic products in Bangladesh. After conducting an effective exploratory research to gain initial idea and knowledge, the study proceeded further to draw a conclusion about the research topic. Through the convenience sample selection process, 100 samples were selected from the target population. The literature review elaborated and explained about the past and recent research works on the product warranty in different countries on different samples. The questionnaire consisted of 33 questions under eight key variables including Service Provider's Accountability, Reliability of Product, Long Term Warranty, Short Term Warranty, Branded Product, Non-branded Product, Country of Origin and Risk Reliever. The regression analysis was used here for the analysis of the data. Finally it is concluded that six factors out of eight have an impact over purchase decision of the consumers of electronic products.

Keywords: Warranty, Short Term Warranty, Long Term Warranty, Reliability of the Product, Branded Product, Non Branded Product, Purchase Decision.