In a monopoly, how can a firm utilize price discrimination to maximize profits based on the demand curve?

In a monopoly, a firm can maximize profits by using price discrimination, which means charging different prices to different customers based on their willingness to pay. The firm looks at the demand curve, which shows how much of a product people want at various prices. By identifying groups of customers who value the product differently, the firm can set higher prices for those who are willing to pay more and lower prices for those who are more sensitive to price. For example, a movie theater might charge higher prices for evening shows when demand is high and offer discounts for matinee showings when fewer people are likely to attend. This strategy allows the firm to capture more consumer surplus and increase overall profits.