cement in belgium is sold at a uniform delivered price throughout the country. that is, the same price is set for each customer, including transportation costs, regardless of where the customer is located. the same practice is also found in the sale of plasterboard in the united kingdom. are these cases of price discrimination? explain

Respuesta :

The above stated cases are examples of geographical price discrimination.

What is price discrimination?

Price discrimination is a pricing strategy in which a company charges different prices for the same product or service based on the customer's characteristics or the situation in which the product or service is sold. This can include charging different prices based on the customer's income, age, location, gender, or other factors. This strategy is used to increase revenue by charging customers different prices based on their willingness to pay, or by targeting segments of the market that can afford to pay higher prices. Price discrimination can also allow businesses to reach customers in different markets with different pricing strategies.

Cement in Belgium, as well as plasterboard in the United Kingdom, are sold at uniform prices throughout the country irrespective of the transport costs which vary from place to place. As the consumers that are close to the place of production or that are away are charged the same prices, even when as locations change price of transport changes. As they are not charged as per their geographical location, this is an example of price discrimination.

Therefore, these are the cases of geographical price discrimination.

To learn more about price discrimination from the given link

https://brainly.in/question/6775681

#SPJ4