ECO 550. This discussion will give you an opportunity to explore direct and indirect price discrimination within the context of a hypothetical scenario.
Your business partner is strongly opposed to your proposal to change your largest customers lower prices for your web-based services that you will charge your smaller customers. She is arguing it is unethical, unfair, and possibly illegal.
Address the following:
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– What degree is this type of price discrimination?
– How will the plan increase revenue?
– Why will both groups of customers be satisfied with the deal?
– Why is this a legal form of pricing?
Use reputable sources to support your case to your business partner.
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