On Automobile Repairs and the Provision of Loaner Vehicles by Dealers
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In this note, we analyze two hitherto unstudied questions from the perspective of an automobile dealer that uses a particular temporal decision rule to provide loaner vehicles to customers who come to its facility with automobile repair requests. First, on the assumption that the basic criterion for the above mentioned decision rule is satisfied, we determine the expected repair times of automobiles for which our dealer provides customers with loaner vehicles. Second, we ascertain the average number of loaner vehicles that are out with customers.JEL Classification: L62, C44, D81
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