Answer:
Difference between price discrimination and product differentiation are:
Basis Price Discrimination Product Differentiation Meaning It is a situation when a monopolist charges different price from different buyers of the same product. It is a situation when different producers under monopolistic competitions try to differentiate their product in terms of its shape, size, packaging trademark or brand name. Motive This is generally done to maximize profits. This is done to attract the buyers from the rival firms in the market. Form of market where observed It is observed in monopoly. It is observed in monopolistic competition and oligopoly. Impact on elasticity of demand It is price inelastic It is price elastic.
You need to login to perform this action.
You will be redirected in
3 sec
