Marina is on vacation in Jamaica and buys a bottle of rum for about half the price she would pay for the same bottle at home. The rum isn't on sale in Jamaica but is priced lower because that's the price the market will bear. What is this an example of?

Question

Quizplus · Accepted Answer

This is an example of price discrimination, where the same product is sold at different prices in different markets based on what consumers are willing to pay.

Marina Is on Vacation in Jamaica and Buys a Bottle