Price discrimination is allowed if a seller can prove that its costs are different when selling to different retailers.

Question

Quizplus · Accepted Answer

Price discrimination is legal if a seller can show that its costs vary depending on the retailer. This is known as "cost justification." The seller must be able to demonstrate that there are significant differences in cost between the different retailers, and that the price differences are reasonable based on those differences in cost.

Price Discrimination Is Allowed If a Seller Can Prove That