If a Firm Sells to Two Distinct Identifiable Markets and Resale

question 98

Essay

If a firm sells to two distinct identifiable markets and resale is impossible,why is price discrimination more profitable than setting a single price?

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Definitions:

Explicit Motives

Conscious motivations, usually measured by self-report.

Affiliation Motive

A psychological drive that influences an individual's need to form or maintain positive social relationships and connections.

Achievement Motive

A psychological construct that refers to an individual's desire to achieve success and demonstrate competence.

Achievement Motivation

A psychological factor that drives individuals to seek success and accomplishment in their endeavors.