When a retailer varies price on items in ways that require buyers to spend extra time or effort to get a lower price, the retailer is using which of the following strategies to price discriminate?
A)Shopping around
B)Bad service
C)Quantity discounts
D)Alternate versions

Question

Quizplus · Accepted Answer

When a retailer varies price on items in ways that require buyers to spend extra time or effort to get a lower price, it is known as Shopping around strategy. This strategy aims to identify buyers who are willing to spend more time and effort to get a better price, and offer them a discount accordingly. This is a form of price discrimination as it allows the retailer to charge different prices to different buyers based on their willingness to spend more time and effort. Therefore, the correct answer is A) Shopping around.

When a Retailer Varies Price on Items in Ways That