Main menu For students For teachers Explore our subjects Student events & courses

Free Economics resources

Teaching PowerPoints

4.1.5.7 Price Discrimination (AQA A Level Economics Teaching Powerpoint)

Level:
A-Level
Board:
AQA

Last updated 13 Sept 2023

Share this content:

This editable and downloadable PowerPoint covers Price Discrimination which is most likely to happen in imperfectly competitive markets and especially monopoly.

Price discrimination is when a firm charges different prices to different customers for the same good or service. The firm will usually charge customers with different price sensitivities different amounts - customers who are less price-sensitive will be charged a higher price, while those who are more price-sensitive will be charged less. The goal of price discrimination is to maximize profits by extracting the most value from each customer. A common example is airline tickets, where business travelers might pay a higher price for tickets than leisure travelers. Another example is coupons - they're a way to offer discounts to price-sensitive customers while charging the full price to others.

Download this PowerPoint

Share this content: