Maintaining the price level


One trick of some Chinese businessmen is to maintain the price level when there is a price fluctuation in the market. A maintained price level is an image of stability. Especially when the increase in market prices is minimal a small sacrifice is worth it.


It is not easy to maintain the price level especially when the price increase is high that profitability will be greatly affected. One company of a hardware product is giving old stocks with a discount which is a come on when there is a price increase in the market. But if the product is not a hardware item then there would be no old stocks to speak of.