Tag Archives: pricing

Travel Pricing

Let’s look at a simple example of travel pricing. Say there is a train route from Bangalore to Mumbai. Tickets are two way, for simplicity, with the onward journey on Friday, and the return journey on Sunday. Such tickets are … Continue reading

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Price Discrimination

The selling price of a good is set by, among other things, supply and demand. Normally, we would expect a seller to sell a good at the same price to all buyers. Price discrimination refers to a situation where a … Continue reading

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Potential and Effective Supply

We all know that the price of a good depends on supply and demand. Here, we will look at the notion of potential supply and effective supply, and how it affects the market price and perceived value of the supply. … Continue reading

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Autorickshaw Fares

Autorickshaw trips are priced by distance. This is something we have come to accept over time. However, this is not the only way, and may not be optimal either. There are several ingredients that go into hiring an auto – … Continue reading

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A Simple Pricing Mechanism

What are the factors which determine the selling price of a particular good? This is something we wonder from time to time, mainly when we have to pay for something. “Movie tickets are really costly these days.” “Smart-phones are getting … Continue reading

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