Search results
Results From The WOW.Com Content Network
For price discrimination to succeed, a seller must have market power, such as a dominant market share, product uniqueness, sole pricing power, etc. [9] Some prices under price discrimination may be lower than the price charged by a single-price monopolist. Price discrimination can be utilized by a monopolist to recapture some deadweight loss.
The Robinson–Patman Act (RPA) of 1936 (or Anti-Price Discrimination Act, Pub. L. No. 74-692, 49 Stat. 1526 (codified at 15 U.S.C. § 13)) is a United States federal law that prohibits anticompetitive practices by producers, specifically price discrimination.
Express pricing is a form of price discrimination where, in a reverse of economies of scale, retailers raise their prices slightly in smaller stores. [1] The name of the practice originates from Tesco's Tesco Express stores in the UK, but the term can be used to apply to any retailer operating a similar policy.
Price discrimination may improve consumer surplus. When a firm price discriminates, it will sell up to the point where marginal cost meets the demand curve. Some conditions are required for price discrimination to exist: Firms must face a downward-sloping demand curve, i.e. the demand for a product is inversely proportional to its price.
Gender-based price discrimination exists in many industries including insurance, dry cleaning, hairdressing, nightclubs, clothing, personal care products, discount prices and consumption taxes. A study by the New York City Department of Consumer and Worker Protection found that, on average, women's products cost seven percent more than similar ...
Price walking, or the loyalty penalty, is a form of price discrimination whereby longstanding, loyal customers of a service provider are charged higher prices for the same services compared to customers that have just switched to that provider. The pricing strategy is common in the insurance and telecommunications industries.
A two-part tariff (TPT) is a form of price discrimination wherein the price of a product or service is composed of two parts – a lump-sum fee as well as a per-unit charge. [1] [2] In general, such a pricing technique only occurs in partially or fully monopolistic markets.
What links here; Related changes; Upload file; Special pages; Permanent link; Page information; Cite this page; Get shortened URL; Download QR code