Question: Grocery store chains often set consumer- specific prices by issuing frequent- buyer cards to willing customers and collecting information about their purchases. Grocery chains can

Grocery store chains often set consumer- specific prices by issuing frequent- buyer cards to willing customers and collecting information about their purchases. Grocery chains can use that data to offer customized discount coupons to individuals.
a. Which type of price discrimination—perfect, group, or nonlinear—are these personalized discounts?
b. How should a grocery store use past- purchase data to set individualized prices to maximize its profit?

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