Trade Discounts
According to Vilma Siladerio, a trade discount “is the amount by which a manufacturer reduces the retail price of the product when it sells to a reseller, rather than to the end customer”. To which the reseller charges the customer the retail price in order to earn profit on the difference between the amount by which the manufacturer sold the product to it and the price at which it then sells the product to the final customer. In the article she wrote, here in the Philippines, selling at a discount is a common practice if the reseller wishes to gain market share or clear out excess inventory. (Silvaderio, V., Inventory Discounts and Rebates)
As practiced and observed in the Philippines, a trade discount normally increases in size if the reseller purchases in large quantities. Possible option on why a trade discount may also be unusually large if the manufacturer is trying to establish a new distribution channel or if the retailed has a excessive deal of distribution power, and can demand the additional discount. (www.outskirtpress.com)
Here in the Philippines, it is most seen in the Binondo area (i.e. 168 or Divisoria) where in manufacturers sell their products at a very low cost and would give large discounts should customers buy in bulk. Thus customers who have business same as the manufacturer would buy in the said area as they are less cheaper and of “good” quality too.
Another practice that netizens are getting used to now days and has been persistently offered by banks is the “online banking”. An online banking or internet banking allows customers of a bank to conduct financial transactions on secure website operated by the bank. It may include of any transactions related to online usage. (www.psbank.com)
Based on the group’s experience, to access an online banking facility, the customer having an internet access must register with the institution for the service, and set up some password for customer verification. With the customer number given by the bank, the customer can then