An airline charges its customers a $10 fee for purchasing a flight ticket by talking on the phone to a reservation specialist who can search available flight options. The airline does not charge a fee for purchasing a flight ticket on the airline's website. On the website, customers find it confusing to identify all options and make a reservation. This airline is practicing price discrimination through
A)creating group pricing through the mode of purchase choice by consumers.
B)segmenting consumers based on the timing of their purchase.
C)creating a hurdle through quantity discounts.
D)creating a hurdle of worse service.

Question

Quizplus · Accepted Answer

The airline is creating a hurdle of worse service by charging a fee for purchasing a ticket over the phone, which makes it more difficult for customers to purchase a ticket.

An Airline Charges Its Customers a $10 Fee for Purchasing