My Favorite Article: What is a Cash Discount?

Summary: This article talks about what is a cash discount, “a cash discount is a marketing and client relations strategy that is often employed to provide consumers with added incentive to do business with a particular company.” Sometimes the cash discount might be a percentage, sometimes it could be an amount. There is only one purpose, which is to encourage people to pay for goods and services using cash, but not some alternative form of payment, such as credit cards. Both vendor and client are offered by the cash discount. When the client makes a payment within ten days of the issue date, a discount is applied.

Connection: In chapter twelve of the text book, we can find some basic information of a cash discount. Actually cash discount is very attractive to people. However, most of the people don’t like paying cash, because they don't have such a large amount of cash in their wallet, or they want to use credit card more to earn air points. But business wouldn't think that way. They know that if there is a higher population of using credit card, there will be a higher chance to lose money. Not everyone pay off their bills on time. That is the most effective problem.

Reflection: I am very interesting about cash, discount, that kinds of thing. Everything about money is my favorite. This really attracts my attention. In case, we just need to pay in cash, which is the same amount when I pay in credit card, then I can have a discount to deduct the amount. That means we can pay less money than the item’s regular price. This is such a great thing to us. Just a little process, can actually save our money. Deal!
Address: http://www.wisegeek.com/what-is-a-cash-discount.htm