Price Discrimination: A Comparative Study of Business Universities in Lithuania

Abstract

The paper reflects on the phenomenon of price discrimination, evaluating the theoretical background, which is further adapted to the theory of tertiary education. The main focus is to identify the forms and levels of price discrimination in two selected business universities in Lithuania, as a fundamental comparative analysis discloses that pricing strategies differ from university to university, but the price discrimination fact stays constant as our study shows. The most popular way of price discrimination at the university level, as our study shows, is third-degree price discrimination.

Consumer goods: from mass consumption to servitization

“…Understanding and defining the main price strategies as a whole is an approach that academics have developed in recent research (Stole, 2007). Moreover, the studies show that most academics agree on defining price discrimination as one of the most common , effective and traditional actions that companies take when implementing market strategies for business growth (Grundey & Griesiene, 2011). Discrimination strategies have been developed in different dimensions of study , including; the financial dimension, whose main component is profit maximization; economic dimension, focusing on the market and its properties; and marketing dimension, where price discrimination definitions reside in the ability that companies acquire to compete by means of price strategies in different markets with high or low segmentation (Ekelund, 1970).…”

Simulation of Tuition Fees in Competitiveness Management of Higher Education Institutions (Case of Ukraine's Universities)

“…Foreign researchers are also paying attention to the problem of price discrimination in universities of European Union countries. For example, D. Grundey and I. Griesiene [9], who invest the phenomenon of price discrimination in higher education, define it as a market phenomenon in which providers offer similar or identical services to different buyers at different prices for reasons that are not directly related to the cost. The factors or drivers of such discrimination include institutional prestige, international and national HEIs, quality of teaching, inefficiency of price competition, and the budget financing of HEIs.…”