The thesis describes the conflict of price differentiation strategies and the consumers' perception of price fairness in different manners. By that, the role of a price is explained in detail in the role of marketing, as well as it's role in behavioral economics regarding price fairness. Different examples, being a highly discussed topic in the current state of the art, are brought together to demonstrate the variety of this price policy. Uber, the haircutting industry as well as typical gender-based pricing or emergency situations represent crucial practices that are discussed in regard of moral and ethical limitations in terms of price fairness. Finally, the work aims to understand the limitations on price differentiation in the context of price fairness and tries to answer questions as: When is price differentiation acceptable for consumers and when should firms reconsider differential price strategies due to a perceived abuse of trust, anger or similar emotions of targeted customers? For that, an empirical social research is considered to bring first and secondary data together, and to enable the defintion of those limitations to become a little clearer.
Inhaltsverzeichnis (Table of Contents)
- 1. Introduction
- 1.1 Significance of the Study and Problem Statement
- 1.2 Research Objective and Research Questions
- 1.3 Research Methodology and Structure
- 2. Price Determination in Economic Theory
- 2.1 Law of Supply and Demand
- 2.2 The Role of Pricing in the Marketing Mix
- 3. Modern Pricing Policy – Price Differentiation Strategies
- 3.1 Degrees of Price Differentiation
- 3.2 Price Differentiation as a Marketing Instrument
- 3.2.1 The Nature of Dynamic Pricing
- 3.2.2 The Nature of Gender-Based Pricing
- 3.3 Ethical and Moral Limitations
- 4. The Perception of Price (Un-)Fairness
- 4.1 The Drivers of Perceived Price (Un-)Fairness
- 4.2 Dual Entitlement Theory
- 4.3 Attribution Theory
- 4.4 Equity Theory
- 5. Examination of Practical Price Differentiation Strategies
- 5.1 Example A: Surge Pricing at Uber
- 5.2 Example B: Gender-Pricing in the Haircutting Industry
- 5.3 Example C: Dynamic Pricing in Case of Product Scarcity
- 6. Online Survey: The Limitations on Price Differentiation
- 6.1 Methodological Approach
- 6.2 Population and Sample
- 6.3 Survey Design
- 6.4 Descriptive Analysis
- 6.5 In-depth Analysis of Collected Data
- 6.5.1 Cluster Analysis
- 6.6 Discussion and Implications
- 6.7 Limitations and Outlook
Zielsetzung und Themenschwerpunkte (Objectives and Key Themes)
This master's thesis analyzes different pricing strategies and their impact on consumers' perception of price fairness. The objective is to investigate how various price differentiation strategies influence consumer perceptions and to explore the ethical and moral considerations associated with these practices. The research employs economic theory, relevant psychological models, and empirical data from an online survey to achieve this goal.
- Price differentiation strategies and their economic foundations.
- Consumer perception of price fairness and influencing factors.
- Ethical and moral implications of price differentiation.
- Analysis of specific price differentiation examples (e.g., surge pricing, gender-based pricing).
- Empirical findings from an online survey examining consumer responses to different pricing scenarios.
Zusammenfassung der Kapitel (Chapter Summaries)
1. Introduction: This chapter sets the stage for the thesis, outlining the significance of the study and the problem statement regarding price differentiation and its impact on perceived fairness. It clearly defines the research objectives and questions that will guide the investigation. The chapter also details the chosen research methodology and provides an overview of the thesis structure, preparing the reader for the subsequent chapters.
2. Price Determination in Economic Theory: This chapter lays the groundwork by exploring the fundamental principles of price determination within economic theory. It examines the law of supply and demand, illustrating how equilibrium price is reached through the interaction of these forces. Further, the chapter discusses the crucial role of pricing within the broader marketing mix, highlighting its strategic importance in achieving business objectives.
3. Modern Pricing Policy – Price Differentiation Strategies: This chapter delves into the various modern pricing strategies focusing on price differentiation. It analyzes different degrees of price differentiation, exploring the various methods businesses use to adapt their pricing based on factors such as customer segment, time, or location. The chapter then examines price differentiation as a marketing instrument, analyzing the nature of dynamic pricing and gender-based pricing, while carefully considering the ethical and moral implications of these approaches.
4. The Perception of Price (Un-)Fairness: This chapter investigates the psychological aspects of price perception, focusing on what drives consumers' perception of fair and unfair prices. The chapter explores several theoretical frameworks, including dual entitlement theory, attribution theory, and equity theory, to understand the cognitive processes behind consumers' judgments of pricing practices. This provides a theoretical basis for interpreting the empirical findings in later chapters.
5. Examination of Practical Price Differentiation Strategies: This chapter provides concrete examples of price differentiation in action, analyzing case studies from various industries. It explores surge pricing at Uber, gender-based pricing in the hair-cutting industry, and dynamic pricing in situations of product scarcity. These real-world examples illustrate the practical application of the price differentiation strategies discussed earlier and allow for a detailed examination of their impacts.
6. Online Survey: The Limitations on Price Differentiation: This chapter presents the methodology and results of an online survey designed to investigate consumer perceptions of price fairness across different pricing scenarios. It details the methodological approach, including population and sample selection, and survey design. A thorough analysis of the collected data using cluster analysis is presented, offering insights into consumer segmentations based on price fairness perceptions.
Schlüsselwörter (Keywords)
Price differentiation, price fairness, consumer perception, dynamic pricing, gender-based pricing, surge pricing, marketing mix, economic theory, psychological models, online survey, cluster analysis, ethical considerations.
Frequently Asked Questions: A Comprehensive Analysis of Price Differentiation Strategies and Consumer Perception
What is the main topic of this master's thesis?
This master's thesis comprehensively analyzes various price differentiation strategies and their impact on consumers' perception of price fairness. It investigates how different pricing strategies influence consumer perceptions and explores the ethical and moral considerations involved.
What are the key themes explored in the thesis?
The thesis explores several key themes, including: price differentiation strategies and their economic foundations; consumer perception of price fairness and its influencing factors; ethical and moral implications of price differentiation; analysis of specific price differentiation examples (surge pricing, gender-based pricing); and empirical findings from an online survey examining consumer responses to different pricing scenarios.
What research methods were used?
The research employs a mixed-methods approach. It uses economic theory and relevant psychological models (Dual Entitlement Theory, Attribution Theory, Equity Theory) as theoretical frameworks. Empirical data is gathered through an online survey and analyzed using descriptive statistics and cluster analysis.
What are the key economic theories discussed?
The thesis examines the law of supply and demand as a foundational principle of price determination in economic theory and discusses the strategic role of pricing within the broader marketing mix.
What psychological models are used to understand consumer perception of price fairness?
The thesis utilizes Dual Entitlement Theory, Attribution Theory, and Equity Theory to explain how consumers perceive price fairness and the cognitive processes behind their judgments.
What types of price differentiation strategies are analyzed?
The thesis analyzes various price differentiation strategies, including dynamic pricing, gender-based pricing, and surge pricing. Specific examples such as Uber's surge pricing and gender-based pricing in the hair-cutting industry are examined in detail.
What is the role of the online survey?
The online survey provides empirical data to investigate consumer perceptions of price fairness across different pricing scenarios. The survey's methodology, including population and sample selection, survey design, and data analysis (including cluster analysis), is thoroughly described and discussed.
What are the ethical and moral considerations discussed in relation to price differentiation?
The thesis critically examines the ethical and moral implications associated with different price differentiation strategies, highlighting potential concerns and limitations.
What are the main findings and implications of the thesis?
The main findings and implications of the thesis are presented in Chapter 6, which includes a discussion of the survey results, limitations of the study, and suggestions for future research.
What are the limitations of the study?
The limitations of the study, including those related to the online survey methodology and the scope of the research, are discussed in Chapter 6.
What are the keywords associated with this thesis?
Key words include: Price differentiation, price fairness, consumer perception, dynamic pricing, gender-based pricing, surge pricing, marketing mix, economic theory, psychological models, online survey, cluster analysis, ethical considerations.
- Citar trabajo
- Luisa Domanska (Autor), 2018, The Conflict of Price Differentiation and Price Fairness, Múnich, GRIN Verlag, https://www.grin.com/document/445015
