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Of course you can!

I definitely have increased the price of consulting for "annoying" customers doing stuff I don't want to do. Many moons ago, I was doing some contract training for a small airline here in town. I liked teaching but I didn't really want to do the training they wanted me to do - it was a pain in the ass, it took a week, and didn't really pay enough to justify the opportunity cost.

So I kept raising my price, and eventually, they stopped asking me to do the training. It was great because I didn't have to do the thing I didn't want to do anymore, and I made more money. You are allowed to charge different people different amounts of money - some people are just a pain in the butt and charging more pays for the lack of sanity.

 help



But that's just charging different amounts for different services. Not at all the same as the typical end user price discrimination which is all about charging whatever you can get away with with that particular cusomer.

I agree with the principle but where I think price discrimination goes too far is, for example, Uber charging people more by age or statistically imputed income. Or PlayStation charging more for a game by the time of day.

Notice the difference. One is charging people more because they're actually costing you something by imposing an inconvenience, the other is charging people more because you've X-rayed their wallet and set the price to be the amount that cleans them out.

Notice also the thing the customers should be doing in response to the second one: Sharing the prices they're shown for everything with the other customers so they can arbitrage by having the person offered the lowest price be the one to order it.


> Notice also the thing the customers should be doing in response to the second one: Sharing the prices they're shown for everything with the other customers so they can arbitrage by having the person offered the lowest price be the one to order it.

Ah, but this is worst in industries where resale is not possible. For example, flights, digital games, and rideshare. Of course one has the option to just not fly, buy games, or use Uber, but this limits a lot of convenience and function in a modern society. This is why I think targeted regulation is not such a bad thing - provided, as you explain, that the reason for the price discrimination is not because the customer actually costs the business more.


It's not practical to have customers coordinating purchases in that manner. What should happen is the customers report to a regulatory agency "this seller is engaging in illegal price discrimination" and that agency brings the hammer down.

But you don't have a way to figure out what your competitors are charging and have automated systems find the maximum you can extract without losing the customer



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