Promotions and Full-Price Demand
A short consumer electronics retail decision problem. Use the supplied facts, commit to one action, then check your reasoning. Fictional practice; no leaderboard score is recorded.
Consumer electronics retail · second-order effects of promotion
You have run a deep sitewide discount at the end of each of the last five months. Discount-month revenue is strong. Revenue in the first three weeks of each month has fallen steadily, and full-price sell-through is down 30% year over year.
| Given fact | Scenario data |
|---|---|
| End-of-month promotions | Deep discounts for 5 months |
| Discount-period revenue | Strong |
| First three weeks' revenue | Falling steadily |
| Full-price sell-through | Down 30% year over year |