When a local restaurant offers a discount to senior citizens, they have violated the price discrimination provisions of the Robinson-Patman Act.

Question

Quizplus · Accepted Answer

The Robinson-Patman Act prohibits price discrimination that harms competition, but it includes exceptions for reasonable price differences based on cost savings, competition or meeting a competitor's price. Offering a discount to senior citizens is not considered harmful discrimination and is often viewed as a means of attracting customers from a specific demographic. In fact, many companies offer discounts to certain groups as a marketing strategy. Therefore, it is not a violation of the Robinson-Patman Act.

When a Local Restaurant Offers a Discount to Senior Citizens