Price Discount

Price Discount in foreign trade refers to a reduction in the original quotation given by the seller to the buyer to promote transactions, expand sales, or maintain customer relationships. Common scenarios include large orders, long-term cooperation, promotional seasons, inventory clearance, and repeat orders from regular customers. When applying it, the discount margin, validity period, and applicable conditions (such as minimum order quantity) must be clearly stated, and attention should be paid to distinguishing it from Commission, Rebate, and Allowance: Commission is remuneration to intermediaries, Rebate is a return after the fact, and Allowance is mostly due to quality or short shipment issues. If the quotation already includes a discount, it should be noted that 'this price includes an X% discount' to avoid the buyer mistakenly assuming it can be stacked. At the same time, discounts may affect the letter of credit amount and customs declaration unit price, so document consistency must be maintained. In addition, overly frequent discounts will weaken brand pricing power, and it is recommended to replace direct price cuts with tiered pricing or quantity discounts.