Offering a promotion during a peak period that has significant forward buying

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Offering a promotion during a peak period with significant forward buying creates a demand pattern that is even more costly to serve. This is because customers tend to stock up on the promoted product during the peak period, leading to excess inventory and higher costs for the company. Additionally, the high demand during the peak period may cause production and logistics challenges, further adding to the cost of serving the demand.

Offering a Promotion During a Peak Period That Has Significant