Rebates are considered part of cost containment. Cost containment involves strategies to control or reduce expenses to stay within a budget. Rebates help in this by providing a financial return on purchases, which can be used to offset costs.
* Cost avoidance: Focuses on preventing costs from occurring in the first place.
* Cost reduction: Involves lowering existing costs.
* Cost mitigation: Refers to reducing the severity of costs or financial impacts.
* Cost containment: Encompasses methods to manage and control costs, including utilizing rebates.
Thus, rebates fall under cost containment.
References:
* Financial management principles on cost containment.
* Procurement strategies on leveraging rebates.