TY - JOUR
T1 - Trapping fake discounts as drivers of real revenues and their impact on consumer's behavior in India
T2 - A case study
AU - Hawaldar, Iqbal Thonse
AU - Ullal, Mithun S.
AU - Birau, Felicia Ramona
AU - Spulbar, Cristi Marcel
N1 - Funding Information:
This work was supported by the grant POCU 380/6/13/123990, co-financed by the European Social Fund within the Sectorial Operational Program Human Capital 2014-2020. This research received no external funding
Publisher Copyright:
© 2019 by the authors.
PY - 2019/9
Y1 - 2019/9
N2 - This empirical study contributes towards identifying the effect of both fake and real discounts in the Indian marketing environment. A common but unsustainable practice in India is to increase the selling price and then offer a discount on the product. Increasing sales based on fake discount pricing strategy is a primary business development objective in India. The discounts, however, vary across store type and time and are based on product features. The selected databases were collected from the top five Indian e-commerce portals in terms of volume of sales, and from popular brick and motor outlets of tier 2 and tier 3 cities in India. The empirical results indicate that offers based on price in India had an impact of 2.8 times higher than the actual quality of the product. The outcomes suggest that marked price has a significant impact on consumer's behavior. The results also indicate the existence of a strong correlation between trapping fake discounts and purchase by deceiving and persuading customers in India. Research is empirical in nature and respondents have been selected based on purposive sampling. The study is limited to tier 2 and 3 cities of India for 250 days, and the results are applicable to online and offline retail stores.
AB - This empirical study contributes towards identifying the effect of both fake and real discounts in the Indian marketing environment. A common but unsustainable practice in India is to increase the selling price and then offer a discount on the product. Increasing sales based on fake discount pricing strategy is a primary business development objective in India. The discounts, however, vary across store type and time and are based on product features. The selected databases were collected from the top five Indian e-commerce portals in terms of volume of sales, and from popular brick and motor outlets of tier 2 and tier 3 cities in India. The empirical results indicate that offers based on price in India had an impact of 2.8 times higher than the actual quality of the product. The outcomes suggest that marked price has a significant impact on consumer's behavior. The results also indicate the existence of a strong correlation between trapping fake discounts and purchase by deceiving and persuading customers in India. Research is empirical in nature and respondents have been selected based on purposive sampling. The study is limited to tier 2 and 3 cities of India for 250 days, and the results are applicable to online and offline retail stores.
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U2 - 10.3390/su11174637
DO - 10.3390/su11174637
M3 - Article
AN - SCOPUS:85071985548
SN - 2071-1050
VL - 11
JO - Sustainability (Switzerland)
JF - Sustainability (Switzerland)
IS - 17
M1 - 4637
ER -