Eliminating costly functional features of a product or lowering overall product quality can reduce price escalation.

Question

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Price escalation refers to the increase in the selling price of a product due to added costs such as shipping, tariffs, and taxes. By eliminating costly functional features or lowering the overall product quality, a company can reduce its production costs, which in turn can help mitigate or reduce the extent of price escalation for the end consumer.

Eliminating Costly Functional Features of a Product or Lowering Overall