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How can I reduce the profit cost on my rebate offers?

When Rebates are Not So Great

Customers are usually attracted to rebate offers. Investors may not find some rebates as attractive as others. Slowing car sales often force car manufacturers to offer rebates to attract buyers and to maintain market share. But rebates aren't cheap. The incentives eat into the car makers profit margins, which hit the bottom line. Due to costly rebates, DaimlerChrysler AG informed investors last month to expect lower profits in the third quarter.

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