The segmenting of customers into several small groups such as household,institutional,commercial,and industrial users,and establishing a different rate schedule for each group is known as:
A) first-degree price discrimination
B) market penetration
C) third-degree price discrimination
D) second-degree price discrimination
E) none of the above

Question

Quizplus · Accepted Answer

This is an example of third-degree price discrimination, where different prices are charged to different customer groups based on their distinct characteristics or segments, such as household, institutional, commercial, and industrial users.

The Segmenting of Customers into Several Small Groups Such as Household,institutional,commercial,and