Markdowns are reductions in the original price of products, often used by retailers to encourage sales and attract customers. For example, a clothing store might mark down a shirt from $30 to $20 to clear out inventory or make room for new styles. These discounts can be temporary or part of a seasonal sale, making it easier for shoppers to find good deals. When a product is marked down, it can create a sense of urgency for buyers, prompting them to purchase before the sale ends. Markdowns are common during events like Black Friday or end-of-season sales, where shoppers can find significant savings on their favorite items.