Group buying provides us with an excellent chance to get hold of products and solutions at silly prices. The essential Group Buying business model is that by agreeing to purchase goods in large quantities from manufacturers. They in turn agree to provide the merchandise at a reduced price. The discount differs from product to product and the total number of items promised. The deal generally can last for a fixed time and has a predetermined number of units to be sold. This can help to deliver both a sense of shortage and urgency for the offer. There are many popular variations to the business model. (a) The seller sometimes buys the products in large quantities, in advance at a discount price from the provider. Then sells them on at a profit. This activly works to the benefit of the supplier and while the seller will make a good gain he's at risk by buying the stock up-front of the group buying deal. (b) At times the deal only goes ahead once enough items have been reserved by customers. The danger is minimised to each party however if the deal does not work out then you definitely stand a high probability of upsetting the potential customers. This could damage future sales. Group buying offers are around for a variety of product types from quality power tools through to beauty products.