Question

Which type of stores offer products at lower prices than traditional retailers by reducing overhead costs?

1) Discount stores
2) Outlet stores
3) Online stores
4) All of the above

Answer 1

Discount stores, outlet stores, and online stores offer products at lower prices than traditional retailers by reducing overhead costs.

Step-by-step explanation:

The type of stores that offer products at lower prices than traditional retailers by reducing overhead costs are discount stores, outlet stores, and online stores.

Discount stores, such as Walmart or Dollar General, offer products at lower prices by applying cost-cutting measures like limited staffing, simplified store layout, and bulk purchasing. These stores often carry a wide range of products, from groceries to electronics, at discounted prices.

Outlet stores, like Nike Factory Store or T.J. Maxx, offer discounted merchandise from previous seasons or overstocked items. They sell products directly from the manufacturer or at a discounted price due to minor flaws or irregularities.

Online stores, such as Amazon or eBay, have lower prices than traditional retailers because they have lower overhead costs. They don't have to pay for physical store locations and have minimal staffing requirements, resulting in cost savings that can be passed on to the customers.