Indirect Price Discrimination Flashcards
1
Q
When a seller cannot identify low/high value consumers they can still discriminate by
A
by designing products or services that appeal to groups with different price elasticities.
2
Q
Metering is a type of indirect discrimination that identifies
A
high value consumers by how intensely they use a product
3
Q
If you offer a low value product that attracts high value customers
A
you may cannibalize sales of your high end product
4
Q
When pricing for an individual customer, do not bargain over unit price, instead
A
offer volume discounts, two-part pricing, or bundling
5
Q
Bundling goods together can allow a seller to extract
A
more consumer surplus
