Until the early 1980s, The Walt Disney Company used a pricing strategy in which visitors to its theme parks paid a low admission fee and also paid for rides.This pricing strategy is an example of
A)perfect price discrimination.
B)cost-plus pricing.
C)a two-part tariff.
D)monopoly pricing.

Question

Quizplus · Accepted Answer

The pricing strategy used by The Walt Disney Company involved charging customers a low admission fee (the "first part" of the tariff) and then requiring them to pay additional fees for each ride they took (the "second part" of the tariff). This is an example of a two-part tariff pricing strategy, where customers pay a fixed fee upfront and then additional fees based on usage. This allows Disney to extract more revenue from customers who take more rides while still attracting price-sensitive customers with a low admission fee.

Until the Early 1980s, the Walt Disney Company Used a Pricing