gmatophobia wrote:
Price promotions, such as temporary price reductions or coupon offers, have a large, measurable, immediate effect on a brand's sales. However, such promotions increase price sensitivity, which constrains profitability because it becomes more difficult to raise prices. Furthermore, price promotions become increasingly less effective, making it necessary to offer more costly promotions in the future. Finally, price promotions encourage consumer stockpiling (buying more, less often), which leads to greater volatility in sales, exacerbating the task of managing inventories, thereby increasing costs and further reducing profitability. Therefore, retail managers should ___________
Which of the following most logically completes the argument above?
A. negate the effects of price promotions on individual brands by promoting more brands in a constant but ever-changing mix
B. use price promotions relatively rarely
C. offer price promotions only for overstocked
...
Which of the following most logically completes the argument above?
A. negate the effects of price promotions on individual brands by promoting more brands in a constant but ever-changing mix
B. use price promotions relatively rarely
C. offer price promotions only for overstocked
...
Statistics : Posted by KarishmaB • on 12 Jan 2024, 22:50 • Replies 4 • Views 1316
