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Price discrimination in no way implies a conspiracy nor any ill-intent on the part of the company. It simply implies that there are different customer segments
by ryan_j_naughton 11y ago
Price discrimination in no way implies a conspiracy nor any ill-intent on the part of the company. It simply implies that there are different customer segments with different willingness to pay and not perfect competition.
Seniors and military discounts aren't BC companies objectively care more about those populations. It's because those groups tend to have slightly less disposable income, so the company uses price discrimination to segment their market. The same is true here for women -- their price elasticity is different than men on average
- maratd 11y ago> Price discrimination in no way implies a conspiracy nor any ill-intent on the part of the company. It was implied by the commissioner and really, the article as a whole: "DCA Commissioner Julie Menin, who launched the investigation this summer, said the numbers show an insidious form of gender discrimination." Not only that, there wasn't any price discrimination to begin with. In your example, people are being charged different prices for the same good. That is definitely price discrimination and attempts to segment the market, you're right. But that's not happening. They're trying to build an equivalence between different goods. There are many reasons that doesn't work. Another comment here did a fantastic job of explaining why. See above.