Glossary · Business & Sourcing
What Is Price Break?
A price break is the quantity at which a unit price steps down, reflecting how fixed costs — setup, cleaning, tooling amortisation and per-batch quality testing — spread across more units. Cosmetics quotations commonly show two or three breaks, and the largest saving is usually at the first one.
Why it matters when you source
Comparing quotes at different quantities is a common and expensive mistake. Normalize every quotation to the same quantity, then look at the shape of the curve: if the second break saves little, your capital may be better deployed on another SKU.
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