Third Degree Price Discrimination Under The Competitive State Of Methods And Applications

With the rapid development of economy and market, the price discrimination phenomenon is more and more universal and the form is more and more multiple in our country, no matter"haggle over price"and discount or different price in different gas market, all of them show the price discrimination are everywhere.The study of the third piece discrimination in existing literature are main based on the monopoly manufacturer, that means there is only one manufacturer, but actually two or more manufacturers participate in the competition is more universal than only one monopoly manufacturer. Based on a complete static information model, the linear demand function and linear cost function, this thesis not only studies the effectively of third degree price discrimination in N markets, but also introduces the second degree price discrimination in the third degree price discrimination, so this thesis studies every manufacturer how to make the max profits when they are restricted to competitor under two price discrimination method. Finally, base on the theory and conclusion, this thesis studied the application of discrimination pricing in natural gas and CNG and put forward some valuable advices.In chapter 3, based on a complete static information model, the liner demand function and the liner cost functions, this thesis studied the pricing behavior which used method of second degree price discrimination in two sub-markets and also discussed the problem of profit maximization about three phase approach in each sub-market. In addition, the calculation formulas of the maximum sales volume and maximum price and the maximum profit which belong to both manufactures who is on the condition of second degree price discrimination in two sub-markets, and then came to the important conclusion that the profit which gets through introducing second degree price discrimination in third degree price discrimination is higher absolutely than the profit get through only third degree price discrimination.In chapter 4, this thesis researched the application of price discrimination method in natural gas pricing and CNG pricing, it demonstrated the rationality of price discrimination and application of principle and the newest achievement of price discrimination. At the same time, this article analyzed the problems in the CNG market and aimed to propose the third degree price discrimination theory in the CNG pricing application as well as some other solutions.