Pre-sale refers to the sales behavior before the product officially enters the market.

For example, pre-sale of houses:

Pre-sale of houses, also known as pre-sale of commercial houses, and pre-sale of uncompleted flats, refers to the real estate transaction behavior in which the real estate development enterprise and the buyers agree that the buyers will pay the deposit or advance payment and own the existing houses at a certain date in the future. Its essence is the purchase and sale of housing futures, which is only a futures contract of housing.

The harm of the pre-sale system is that when developers get the advance payment and recover most or all of the costs in advance, they have no worries, so they push up the price increase step by step by hoarding and other means.

and the rise in house prices has created conditions for developers to collect the advance payment of the next project more conveniently, because in the process of rising house prices, people's expectation of future house price appreciation will push house prices to record highs.

Extended information

For some design and invention products, we can know whether there is a market for such products through pre-sale, especially for some products that can only be mass-produced, they can only be put into production after reaching a certain amount through pre-sale, which effectively avoids the risks existing in production.

The unsuccessful products in the pre-sale process indicate that the practicality and popularity of the products need to be studied and demonstrated, which is a good way to avoid the waste caused by mass production and conduct market research.

Baidu Encyclopedia-House Pre-sale