In many markets, price promotions are a primary mechanism by which prices are adjusted. This chapter presents an overview of how retail price promotions work in theory and in practice. While there is a heavy emphasis on fast moving consumer goods (e.g., items sold in grocery stores or CPG), we...

Retailing comprises about 40% of the U.S. economy, and is a major economic engine of the world economy. While the retail sector has always been very competitive, in recent years, the competitive nature of the field has increased dramatically. Customers too have become more exacting, demanding...