A company manufacturing shampoo charges a low price to customers who buy sachets on the premise that since they belong to lower income groups they are more price sensitive.It charges higher prices to customers who buy shampoo bottles.This is an example of:

Question

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This is an example of price discrimination, where different prices are charged to different groups of consumers based on their willingness or ability to pay.

A Company Manufacturing Shampoo Charges a Low Price to Customers