In the small country of Talisman, the liquor industry is monopolized by a single producer Best Drinks Inc Best Drinks charges high end customers like 5-star hotels a much higher price than it charges local pubs. Identify the correct statement from the following
a. Best Drinks is aware of the variations in the valuation of its products by different consumer segments.
b. Best Drinks minimizes cost by charging different consumers different prices.
c. Charging different prices for different consumers increases consumer surplus.
d. Best Drinks charges different prices because its sole objective is sales maximization.
A
You might also like to view...
Restricted Formulary Hospitals are big purchasers of pharmaceutical products and have to stock many different chemical entities. However, they increasingly do not stock all. Instead, they restrict their formularies to many of the treatments in a therapeutic class but consciously exclude a few. How does this help them negotiate?
Money prices are:
A. always the best way to solve economic problems. B. essential to a coordinating mechanism. C. unfair ways of coordinating individual actions. D. not essential to a coordinating mechanism.