Discounts.docx - Discounts Temporary discount pricing strategies include coupons cents-off sales seasonal price reductions and even volume purchases For

Discounts.docx - Discounts Temporary discount pricing...

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Discounts Temporary discount pricing strategies include coupons, cents-off sales, seasonal price reductions and even volume purchases. For example, a small clothing manufacturer may offer seasonal price reductions after the holidays to reduce product inventory. A volume discount may include a buy-two-get-one-free promotion. For example, when people purchase paper plates or foam cups or a picnic, they often shop for the lowest price when there is minimal product differentiation. Consequently, a small paper company may need to price its products lower or lose potential sales. Temporary Discount Pricing Small companies also may use temporary discounts to increase sales. The Discount Pharmacy is a brick and mortar and mail order pharmacy that sells prescription medication at lower prices than other pharmacies. The Discount Pharmacy is able to sell at reduced prices through the use of operating efficiencies and the elimination of unnecessary services for customers that self pay their drugs. The Discount Pharmacy does not accept insurance payments which disrupt the cash flow.

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