In price discrimination, firms charge different prices to different consumers based on their willingness to pay. This practice requires that firms have some level of __________ over the market to prevent reselling.

In price discrimination, firms charge different prices to different customers based on how much each person is willing to pay. To do this successfully, companies need some control over the market, which means they must be able to set prices without competition driving them down. This control helps prevent consumers from buying products at a lower price and reselling them to others at a higher price. For example, a movie theater might charge lower prices for children and seniors while charging adults a higher price, ensuring that those who can pay more do so without the risk of others reselling tickets. This way, the theater maximizes its profits while still catering to different customer needs.