What is it called when a manufacturer offers discounts to resellers in the marketing channel on the basis of where they are in the channel?
A)seasonal discounts
B)trade discounts
C)cash discounts
D)promotional allowance
E)trade-in allowance

Question

Quizplus · Accepted Answer

This is known as trade discounts, where the manufacturer offers discounts to resellers (wholesalers or retailers) based on their position in the marketing channel. It is a common practice to incentivize resellers to purchase more products and distribute them further down the channel.

What Is It Called When a Manufacturer Offers Discounts to Resellers