Several online stores now sell products to consumers at different prices based o

Question

Several online stores now sell products to consumers at different prices based on the user’s information, such as geographical location—which determines your proximity to competitors and your area’s average income. Although this practice, known as Internet price discrimination, is not illegal, some would say it is unethical. Do you believe this practice is unethical? Should this practice be illegal? If you think the practice should be legal, should retailers be required to put a disclaimer on their site? Explain your reasoning

Explanation / Answer

Yes, such a technique is unethical because implementing this technique involves saving and analysing cookies and maintaining records of consumer behaviour and history for future purposes and to get to know about their habits.

Untill and unless consumers are allowing saving and retaining their cookies and search history, such a technique remains unethical and makes unnecessary assumptions about consumers and charge them accordingly.

Although, coming to the legal part, this technique remains legal as it charges consumers different prices according to locality and other things. However, it becomes illegal the moment discrimination is dome on the basis of religion, race etc.

Companies do need to put disclaimers on their websites to maintain transparency with their customers.

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