Firms can practice indirect price discrimination by
A)Offering volume discounts
B)Using two-part pricing
C)Offering a bundle containing a number of units
D)All of the above

Question

​Firms can practice indirect price discrimination by
A)​Offering volume discounts
B)Using two-part pricing
C)Offering a bundle containing a number of units
D)​All of the above

Quizplus · Accepted Answer

All of the options mentioned (offering volume discounts, using two-part pricing, and offering a bundle containing a number of units) are strategies of indirect price discrimination. Offering volume discounts allows firms to charge different prices to customers based on the quantity they buy. Two-part pricing involves charging customers a fixed fee for a service or access and then charging them a usage fee. Offering a bundle of products or services enables firms to charge different prices for different combinations of goods or services.

​Firms Can Practice Indirect Price Discrimination by

Firms Can Practice Indirect Price Discrimination by