Question

A holiday sales flyer advertised a video game system for a significantly reduced price and

video game with purchase. Later that day, the sales associate told you that the store is out of
both items. Instead, you were offered a different system and games at full retail prices. What is this type of fraud called?

Answer 1

Answer: Bait and switch

Step-by-step explanation:

The type of fraud here is referred to as the bait and switch fraud. This fraud occurs when customers are told about the low prices and quality of a product but aren't available when customers want to purchase such products and they're then given products that are costlier or products that are of lesser quality.

This can be seen in the question when the sales associate advertised the video game system for a reduced price which wasn't available when customers wanted to buy but were offered a game that was costlier.