Question
Will you, as an entrepreneur, use the base pricing method for consumable items? Justify your answer.
✓
Answer
Yes, an entrepreneur, could use the base pricing method for consumable item. This is because of following reasons:
- Raising the sales: When the discount is assured on the consumable item, customers will be attracted towards the item. This will increase the sales.
- Easy promotion: Due to varying discount, the promotion of the product becomes easy, as discount rates can be made public easily and effectively.
- Customers will not be lost: If one rate of discount is not acceptable then the other and more effective discount can be offered.
- Scope for bargain: Bargain on price or discount is possible in this method. This bargain can be initiated by entrepreneur and also by the customers leading to productive transaction for the entrepreneur.
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