Should Firms Price Discriminate? Why Or Why Not?

Discuss if you believe it is possible for a company to cater to both its best interest and that of the consumer conjointly or if one always has to prevail. Justify your response.

It has recently come to my attention that Target Co. utilizes data mining to extract a wide spectrum of information about its customers by accumulating, analyzing and storing data about customer purchases. While I understand that this practice enables Target Co. to simultaneously deliver individually targeted advertisements across its diverse customer groupings, thereby increasing the potential for sales and improving customer retention, I also understand that large amounts of data unearthed by data mining can be manipulated to uncover hidden purchasing patterns to predict and shape future purchase decisions. Therefore, although there are significant benefits to using data mining, there are also serious costs associated with data mining that

I would like to bring to your attention the case filed against NFI Interactive Logistics LLC. Had this company had written policy on race harassment, their Bolingbrook facility may still be in operation. This company had to pay out $180,000 to five employees who were victims of race harassment. The company has agreed to take steps to improve their policies on race harassment (EEOC). By having clear company policies, employees will have a clear understanding of what will not be tolerated by the company and also gives employees a safe place to work.

Dana and Gandy (2002) studied the technical and social concerns associated with using data mining techniques to create customer profiles that may exclude classes of consumers from the marketplace. Dana and Gandy’s (2002) study differ from Scott (2014) and Bond and Foss (2005) because it takes into consideration the specific use of data mining techniques employed by companies such neural networks, decision trees, market basket analysis, and clustering. The solution Dana and Gandy (2002) propose is to use more sensitive alternatives to the use of data mining. Dana and Gandy (2002) employ the use of hypothetical scenarios to illustrate how different data usages negatively affect people to simply a complex topic, which is similar to the persuasive devices used by both Scott (2014) and Bond and Foss

C. A representative from The U.S. Equal Employment Opportunity Commission needs to come and evaluate their business practices. They need to ensure that they are not discriminating against any groups of people.

The topic of the article is about a company called Acxiom. A company that uses large-scale data mining and analytics to receive information based on public records, surveys and other items consumers searched on the internet. The author’s argument is that data mining is an invasion of privacy for the consumer. While some consumers may benefit from data mining to receive personalized offers from companies, others may feel it’s stalking and may not want it. The author’s use facts from several interviews conducted with privacy advocates to persuade readers. Therefore, this article is valuable since it informs consumers that the information they are putting on the web is appearing into a database. Plenty of consumers would rather have their information private. Therefore, if companies are using our information in a database, they should need permission from the consumer. Acxiom sells Consumer Data Products Catalogs, which offers hundreds of details on consumers, to

d. Based on your analysis of the case, explain the value of market research in the global community.

With data mining, a retailer could use point-of-sale records of customer purchases to send targeted promotions based on an individual's purchase history. By mining demographic data from comment or warranty cards, the retailer could develop products and promotions to appeal to specific customer segments.

These regulations exist to ensure that natural monopolies are not charging consumers monopoly prices which in turn hurt the consumers as well as society as a whole. Industrial regulations affect the market by its regulation of the natural monopolies which in turn protects the markets consumers. These regulations also allow for a fair profit to the natural monopoly by setting a fair rate, protecting its consumers, but also a “fair return to the enterprises”. (McConnell & Brue, 2008, p. 382)

Price discrimination is charging different people for different price for the same products or services. The benefits are higher income by extracting the consumer surplus and transforming it to supernormal profit and increase the market power. The disadvantage is purchasers have their doubts when their information are being captured and it is crucial for retailers to try to maintain trust. Otherwise firm may face scrutiny, such as Amazon and Staples did after their pricing experiments. Price discrimination is illegal when it is completed on the premise of race, religion, nationality, sex, or that it is infringing upon antitrust or

You are a high powered consultant and have been asked by a large online retailer to help them decide whether or not they should use price discrimination on their website. You have been hired to analyze and present the economic case for and against firms using price discrimination and to provide a recommendation to the retailer as to what they should do. Your report must be no longer than 1000 words. The report must clearly define price discrimination and outline the potential benefits and potential costs of using it. What does the CEO need to know about price discrimination to decide if, when, how, for what goods/services they discrimination should use price discrimination. That is the assignment.

4. Identify typical sales objections and how he will need to overcome them in the meeting through: a. the use of questioning techniques b. his knowledge of products and/or services c. the trade-offs (or concessions) he may need to make

price discrimination is selling the same product to different consumers at different prices, for reasons other than cost. For every goods and services, some consumers are willing to pay more than others, therefore firms that use price discrimination strategy charge different prices in different markets where there are different PED’s. If the product is slightly different it may be product, not price discrimination. The aim of price discrimination is to convert consumer surplus into producer surplus.

This paper will review about the term "lift" and it uses to data mining and commerce. Supplementary assessment of customer relationship management (CRM) and the advantages of its use in enterprise, and scalability of the product to assemble the requirements of a business. It also compare and contrast the cross-selling and affinity positioning, and real life examples and my personal experiences. Finally, recognizing and examining potential ethical issues concerning cross-selling, and advertising to targeted demographic population.

Firms' Incentives to Avoid Price Competition in Oligopoly Markets In the UK a few, large firms dominate most industries. These industries are known as oligopoly markets. Oligopoly markets are an example of imperfect competition. It consists of a market structure in which there is a small number of large firms in the industry hence is relatively highly concentrated.