Question

The Ivory Islands Resort offers a forty percent discount on lodging from September through December every year due the dramatic fall in the number of visitors during the period, largely because of unfavorable weather conditions. This type of price reduction is called _______.

Answer 1

Answer: Seasonal Discounts

Explanation: Seasonal discounts are price reduction given to buyers to persuade them to purchase a product/service during a season when the product/service is not very desirable.

A seasonal discount is offered to the hotel guests during the winter period which is an off-season for the hotel as described in the question.

Answer 2

Answer: The correct answer is "seasonal discounts".

Explanation: The Ivory Islands Resort offers a forty percent discount on lodging from September through December every year due the dramatic fall in the number of visitors during the period, largely because of unfavorable weather conditions. This type of price reduction is called seasonal discounts.

The company when evaluating its sales during the year, seeing that during a season the fall in sales are clearly noticeable, offers a discount only during a certain time of the year to increase sales, in this case from September to December, these prices with discounts that are only made at a certain time of the year are seasonal discounts.