Which of the following situations is considered price discrimination?
A) McDonald's is offering food products for $1 if you order from the dollar menu.
B) Barnes & Noble offers books at a lower-than-market price to members,who must pay an annual fee.
C) Karen uses TripAdvisor.com to research hotel recommendations online.
D) Best Buy is offering a discount on older model television sets.
E) QT,a chain of gas stations,typically supplies gasoline at lower prices to fleet vehicles.

Question

Quizplus · Accepted Answer

Barnes & Noble is offering a lower price to members, who must pay an annual fee, while non-members are charged a higher price. This is an example of price discrimination. The other options involve offering a lower price for a specific reason (dollar menu, older model, fleet vehicles) or conducting research (TripAdvisor), which is not considered price discrimination.

Which of the Following Situations Is Considered Price Discrimination