What Are the Advantages and Disadvantages of Price Discrimination?

Answer

The advantage of price discrimination is that it makes goods and/or services available for more types of consumers. An example would be discounted tickets for students and senior citizens. It also helps prevent congestion such as peak and off-peak rates. A disadvantage is that it has a tendency to cause a price war which can be detrimental to small firms.
Q&A Related to "What Are the Advantages and Disadvantages of..."
Advantages of Price Discrimination. 1. Firm will be able to increase revenue. This may enable some firms to stay in. business who may have otherwise have made a loss. E.g. train companies
http://wiki.answers.com/Q/What_are_the_advantages_...
I know this one! Through a Global Sourcing Company :) They will tap on their local networks and source the product you want at "discriminated" prices. Feel free to contact
http://www.quora.com/How-can-consumers-legally-tak...
In the airline industry, fixed costs are high, whereas variable costs tend to be low. Therefore, when there are no unsold tickets, it is in the airlines' best interest to charge a
http://www.ehow.com/facts_7383180_airlines-use-pri...
Main advantage: by getting more money out of people who are willing and able to pay more than what would be the market equilibrium price you can provide your service to people who
http://answers.yahoo.com/question/index?qid=200910...
About -  Privacy -  Careers -  Ask Blog -  Mobile -  Help -  Feedback  -  Sitemap  © 2014 Ask.com