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price discrimination
Price Discrimination

Presented By:

  • A firm may choose to charge various prices for its identical goods.
  • This is to different segments of the market.
  • This practice is referred to as price discrimination.

argument of price discrimination
Argument of Price Discrimination
  • Its legality and is controversial.
  • People argue that it is illegal and unethical.
  • Customers are discriminated using prices.
  • Some say businesses have the right to set their prices.

promoting factors of price discrimination consumer ignorance
Promoting Factors of Price Discrimination: Consumer ignorance
  • Consumers may not be aware of the cost of a service.
  • They may not know their prices elsewhere.
  • Suppliers take advantage of this.
  • This is especially in medical practices.

legality of price discrimination
Legality Of Price Discrimination
  • It can be legally practiced in a free market.
  • It benefits the business by maximizing its revenues.
  • Extra income is reinvested to enlarge the business.
  • This will benefit the society.
  • Can be used by a firm as a competitive strategy.
  • Consumer may enjoy as long as competition is alive.

for more information on price discrimination
For More Information on price discrimination