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25 percent off is a term used by producers or sellers who want to sell their products or services at 25 percent off on the manufactured price. These terms are majorly used at the time of sale, which are generally put up at the end of the season when the shopkeepers wish to sell most of the season's products, before they get out of date. These offs encourage the buyers to buy products at a lower cost than the original one. With 25% off the original price is reduced by one fourth of itself, this is an incentive for the consumers as the thing which they weren't ready to buy because of its higher price, now they can buy it at a comparatively lower price.
The economics behind giving out sales and lowering the prices by providing 25 percent off, comes from concepts of utility, income effect and substitution effect. When the price of a good falls, it becomes relatively cheaper, by law of demand, as the price falls, the demand of the product rises. Through the concept of utility, it is said that the marginal utility of the product should be greater than its price. Some consumers are willing to pay a price lesser than the original price but price greater than the price after 25 percent off. When the price falls there marginal utility becomes greater than the price and hence they shift their preference to buy the product.

Image Name: 25 percent Off Png Image
Image category: 25 Percent Off | Download 25 Percent Off Zip
Parent category: Miscellaneous
Format: PNG image with alpha (transparent)
Resolution: 446x295
License: Creative Commons (CC BY-NC 4.0)
Size: 83.4KB
Rating: 5
Views: 1490
Author: Brett Croft
Date Added: 22-12-2016
PNG Downloads: 790
ICON Downloads: 224

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