Many hotel chains offer discounts to AAA members. This is an example of _____ that is _____ in the United States.
A)market power; illegal
B)single-price monopoly power; legal
C)price discrimination; illegal
D)price discrimination; legal

Question

Quizplus · Accepted Answer

This is price discrimination, offering different prices to different groups of customers, which is generally legal in the United States as long as it doesn't discriminate based on a legally protected characteristic like race or gender. Offering discounts to AAA members is a common marketing tactic used to attract and retain customers.

Many Hotel Chains Offer Discounts to AAA Members