What are some examples of price discrimination quizlet?
Example: Software is sold at different prices to users and companies. Electric companies might charge an individual a different price than an industrial user. Museums might charge disabled people less. Market Traders might charge tourists a higher price.
Which is an example of an unethical pricing practice?
What is an example of an unethical pricing practice? A company prices its products low in an attempt to drive its competitors out of business. A business charges a small company a higher price for a product than it charges a large company for the same product.
Why is price fixing unethical?
Local communities have to pay more for products and services because the price is artificially manipulated. The fixing of a price of a product causes prejudice or harm to broader society and sadly, it is most often the poorest of the poor who suffer most. These practices are immoral and unethical.
What are the ethical issues in pricing?
5 ethical pricing issues that hurt businesses
- Price fixing: Collusion at its worse.
- Bid rigging: Favoritism.
- Price discrimination: Anti-favoritism.
- Price skimming: Discriminating through time.
- Supra competitive pricing: Monopoly gouging.
What are the two types of pricing policies?
Types of Pricing Strategies
- Demand Pricing. Demand pricing is also called demand-based pricing, or customer-based pricing.
- Competitive Pricing. Also called the strategic pricing.
- Cost-Plus Pricing.
- Penetration Pricing.
- Price Skimming.
- Economy Pricing.
- Psychological Pricing.
- Discount Pricing.
What is the difference between Edlp retailer and a high low retailer?
Whereas an EDLP strategy does not use coupons, sales gimmicks, and the like, High-Low pricing strategies rely on these tactics to build excitement. High-Low refers to a retailer purposely pricing an item at a high price with the intention of selling it at a lower price in the future via a sales event.