Why Discounting Could Lower More than Just Your Prices
Tuesday, January 04, 2011

Why discounting could lower more than just your prices
Constant discounting can damage your company's long-term reputation in the eyes of consumers, according to Sheri Bridges, an associate professor of business at Wake Forest University. "When a brand goes on sale, it gives away part of the profit margin needed to invest in future innovation and quality," Bridges says, adding that consumers will pay for value, or "the bundle of perceived benefits offered at a given price." BusinessNewsDaily.com (12/11)
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