What's the concept of 'free' products. How could one give a product free with other ?
We know nothing comes for free. I think the the cost of original product may be decreasing, hence, to compensate, other product is given with it and tagged free.
- smahadevan39Lv 77 years agoFavourite answer
Once the fixed cost is recovered ( sales beyond Break Even Point ), the product earns good profit in additional sales. So the company can afford to give free items and try to improve the sales.
- Hugo90Lv 77 years ago
No, it's advertising. It is to get you to try the product. On a temporary basis it can be sold at a loss in order to attract new users.