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9/21/2009

Top brands offering subsidies

Pravda, Blurberry, Lois Vittoon, Armaine are selling so well that they could sell their products at any price. The market demand is so good that using market pricing mechanism will mean astronomical profits. The higher they priced their products the greater will be the demand. As a goodwill gesture to reward their unthinking and faithful followers, they are going to sell their products at a discount. But discount is a bad word. So they are going to adopt a different promotion strategy. They cannot sell their products at lower prices of course. It will affect the value of their products the buyers will feel like suckers. So they are going to call it 'subsidy'. For one month only, all their products will be sold at subsidised prices. The huge price tag will remain, or inflated higher, to give their customers a feeling that they are getting more subsidies. This promotion is only available in paradise island.

3 comments:

Anonymous said...

"The huge price tag will remain, or inflated higher, to give their customers a feeling that they are getting more subsidies."

This will appeal to those who buy branded goods to show off. The higher the price tag, the more they can boast. Of course, they will not reveal they have bought the stuff at a discount.

Whether it is stupid or not, it may not have occurred to them, especially if they have money to splurge. We must remember that even though most of us suffer during a recession, the rich get richer.

Anonymous said...

They used to call it decadent lifestyle, but has since been whitewashed by the media and vendors of such products into something that one must have to catch on with the lifestyle of the rich and famous. So, die die must follow.

redbean said...

no such things lah. subsidy is an uniquely singapore terminology with an unique definition of its own.