Coporate Finance

Running head : CORPORATE FINANCE Corporate Finance Corporate Finance

Most companies these days would always look at how to sustain their business in the future , like knowing what their present value is and how to manage it effectively . In a company like AMAZON .com , there are definitely some ways on how to do it and that is by studying its discount rates . Discount rates are one of the main drivers of businesses this is where customers would always find in such online businesses like AMAZON . If you would observe with AMAZON the

br discount rates vary which is most like happens in most companies . In the company discount rates ranges from 5 to even more than 20 depending on how salable is the item . Like for example if you consider a best seller book in Amazon the company could give a discount from 3 to even 7 or even sometimes the highest would be 10 , this is one common strategy that you can see on them when it comes to giving discount rates . But , the company due its new look where it is not just books that can be purchased online , where items such as RTW 's , shoes and even gadgets are being sold to AMAZON which means that the strategy of the company is expanding and continue to be that way . This will only mean that their discount rate can always be competitive since their target customers are increasing due to its wide range of product to offer (amazon .com , 2008...