Hiya, we now have a producing enterprise making girls clothes primarily for native wholesalers. For the previous couple of years we have been promoting on-line to finish prospects as effectively.

A number of occasions a yr we introduce new merchandise and through the “shelf-life” of these gadgets we set the costs as follows:

Beginning – Increased then regular worth for the primary couple of months
Base – Regular quantity we wish to get for the product
Liquidation – Naked minimal, normally simply masking prices

My query is, since our merchandise can have a “shelf-life” from anyplace between a number of months to a few years, how ought to we show these costs and cope with reductions on our web site? I am going to give an instance:

Beginning – $100
Base – $80
Liquidation – $60

We introduce a brand new product for a Beginning Value of $100. Two months later we low cost it to $80 and show -20% on our web site. Now, will we preserve this low cost ceaselessly or ought to we make the common worth $80 in some unspecified time in the future? Subsequently, ought to the product goes to liquidation for $60 will we show a reduction of 40% (100-40%=60) or 25% (80-25%=60)?