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The discount received on purchase of goods is a bargaing deal. It offers a customers there products at lower prices than MRP. But sometimes the bargaining deals like buy two get one free or discounts only on t-shirts feels like overpaid. Because by having two goods at there MRP rate and getting other free covers the cost of free good. So overall cost of all goods were same without any discount.
Retailers do sacrifice revenue for there customers when we do bargaining. They do to build rapport with there customers . With maximum discount provided, more customers are attracted. SO all the sales revenue can be covered by providing them discounts as more customers will be there. Such that they will not be in loss. They will provide you goods which will be of our interest and benefit us by proving whole information.
Sales practices are ethical and beneficial for customers. There are many laws to protect from misleading services or goods that are bought. While bargaining or proving discounts or cash backs the stores have to maintain the quality of a product. It benefits customers as they can but buy goods at lower prices of good quality. As they provide whole information of product and ways to take care of it or use it. So these sales practices also folllow proper protocols which benefits retailers as well as customers.
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