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kramer
2 years ago
11

Simone and Ana are debating the pricing strategy of several airlines. Simone argues, "When airlines restrict discounted tickets

to people who book well in advance and stay over on a Saturday, it is not price discrimination, because the restrictions have nothing to do with individual buyers' willingness to pay." However, Ana says, "The airlines' stay-over restrictions are a form of price discrimination, because they roughly split the market into two separate groups that are willing to pay two different amounts." Economists generally agree with Simone and Ana?
Business
1 answer:
SpyIntel [72]2 years ago
6 0

Answer:

Economists will agree more with Ana

Explanation:

Price discrimination is defined as the selling of the same product to different customers at different prices.

The difference in price charged is usually due to willingness of the customer to buy at different prices.

In the given scenario buyers that are willing to buy in advance and stay over form a category of clients that have a price band unique to them.

Others will buy at a higher price.

This has caused a price discrimination

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3 years ago
I want to know what is the correct thing to invest into
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3 years ago
Traditionally, small businesses tended to be concentrated in the ________ industry.
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Traditionally, small businesses tended to be concentrated in the retail or retailing industry.

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3 years ago
Consider the Northern California territory of Nova generates a sales revenue of $320,000 with four salespeople. The territory ac
antoniya [11.8K]

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$320,000 was generated by the salespeople in this territory.

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3 years ago
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7 0
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