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Assignment on the various aspects of Price Discrimination

Number of Words : 3179

Number of References : 11


 This essay answers the following question –
 What are the various types of price discrimination that organisations can employ? What are the advantages to an organisation that arise from their ability to price discriminate? In evaluating your response use examples of organisations which use these approaches.


Business in the last century has evolved and become more complex compared to the past. Businesses world wide today have come up with innovative business models to be successful and beat the competition. The competition in today’s business world is very intense and demands innovative and new business models. In such a scenario every organization is looking at coming with various strategies and plans to achieve success. Various researchers and experts in the field have contributed to this change. Various strategies, plans, models have been designed in the last century. As mentioned above it’s not just the organizations but also various researchers, management gurus, experts, authors have all contributed to this. One such aspect of business that has seen tremendous change is the pricing strategy that the various organizations employ to optimize their success and penetrate markets. Pricing is one of the most important aspects of business. Pricing strategy of an organization directly makes an impact on the company’s overall business. Hence pricing strategies have received a lot of attention and a tremendous effort has been put into coming up with new and innovative pricing strategies. Different organizations develop and employ different pricing strategies to go along with their business model. Price discrimination is employed by many organizations as strategy to maximize their profits by effective pricing. Different organizations employ a different price discrimination strategy. Each strategy has its own advantages and work in different circumstances. Price discrimination strategy is supported by some while some critic it. Price discrimination, its various types and the advantages or price discrimination to an organization will all be discussed in the following paragraphs.<br />

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