Price discrimination

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Price discrimination is when a company sells a product or service at two or more prices that do not reflect a proportional difference in costs.

Definition

According to Marketing Management by Keller and Kotler (15th edition),

Price discrimination. A company sells a product or service at two or more prices that do not reflect a proportional difference in costs.

According to Cost Accounting by Horngren, Datar, Rajan (14th edition),

Price discrimination. Practice of charging different customers different prices for the same product or service.

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