"Peak" pricing can best be defined as
A)setting higher prices to reflect higher demand.
B)pricing to obtain maximum profit.
C)setting price higher when demand is more elastic.
D)raising price to determine elasticity.

Question

Quizplus · Accepted Answer

"Peak" pricing refers to setting higher prices to reflect higher demand during peak hours or seasons. This is commonly seen in industries like transportation (e.g. Uber surge pricing during rush hour) and entertainment (e.g. higher movie ticket prices on weekends). The goal of peak pricing is to maximize revenue by capturing the willingness of customers to pay more during times of high demand.

"Peak" Pricing Can Best Be Defined as