The Emerging Market Clearing Practice in Ethiopia (The Case of Boutiques in Arda Sub-City; Addis Ababa)

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Date

2010-06

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Addis Ababa University

Abstract

In this paper the Emerging Market Clearing Practice in Ethiopia was investigated in Arada- Subcity: Addis Ababa Data were obtained via interview, questionnaire and personal observation. The questioner designed for the customers and seller(s) and/or owner(s) separately. 79 questioners were distributed to and collected from the customers and from 18 questioners distributed to seller (s) and/or owner(s) 16 (88.9) were collected. 8 seller (s) and/or owner(s) were interviewed and 20 customers who came to purchase the product on Saturday from 4:00pm to 5:00 pm and 10:00am to 11:00am were fill the questionnaire and interviewed. The findings of the study indicated that customers perceived the discount rate as erroneous, the actual price and the displayed discount were in consistence, and there was only a slight reeducation in price. Respondents also indicated that the clearance sales increase their sales volume even if the customers are reluctant to purchase on the specified period and this indicates that customer behavior have its own effect on the applied strategy. The main reason of the boutiques for applying clearance sales was to sell the bulky inventory.

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Keywords

Market Clearing Practice in Ethiopia

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