For Price Discrimination to Work ________

question 35

Multiple Choice

For price discrimination to work ________.

• A) the market must be segmentable and the segments must show similar intensities of demand
• B) members in the lower-price segment must be able to resell the product to the higher-price segment
• C) competitors must be able to undersell the firm in the higher-price segment
• D) the practice must not breed customer resentment and ill will
• E) the extra revenue derived from price discrimination must not exceed the cost of segmenting and policing the market

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