ST STIHL, Inc., manufactures gasoline-powered chain saws for professional, commercial, farm, and consumer markets. To "b
Posted: Fri Jul 01, 2022 8:12 am
ST STIHL, Inc., manufactures gasoline-powered chain saws for professional, commercial, farm, and consumer markets. To "better serve" their customers, STIHL offers its chain saws in four different quality lines and associated price ranges: occasional use, midrange, profes- sional, and arborist. Under what circumstances could offering multiple qualities of a prod- uct be price discrimination? What form of price discrimination might this represent-first-, second-, or third-degree price discrimination? Explain why this practice could increase profit at STIHL.