Which of the following statements about markdowns is true?
A) Markdowns are part of the cost of doing business
B) Markdowns are an opportunity to increase sales
C) Markdowns are initiated to induce price-sensitive customers to buy more
D) Retailers should plan for markdowns
E) All of these

Question

Quizplus · Accepted Answer

All of the statements are true. Markdowns are a common practice in the retail industry as a way to adjust prices and clear inventory. Markdowns can be strategically planned ahead of time or done in response to market conditions. While markdowns do decrease profit margins, they can also lead to increased sales and customer satisfaction. Therefore, markdowns are considered a necessary part of the cost of doing business.

Which of the Following Statements About Markdowns Is True