Price reduction refers to a decrease in the selling price of a product or service. This can occur for various reasons, such as excess inventory, seasonal sales, or competitive pricing strategies. Businesses often implement price reductions to attract more customers and increase sales volume. Consumers benefit from price reductions as they can purchase items at a lower cost. This can lead to increased savings and the opportunity to buy more products. Retailers may advertise these reductions through promotions or discounts, making it easier for shoppers to find deals on items they need or want, such as clothing, electronics, or groceries.