Fairness of Pricing Decisions

Our research investigated pricing policies of fast-food restaurants in predominantly black neighborhoods. We argue that the lack of monitoring of franchisees’ pricing policies leads to higher prices. Results indicate that franchisees are significantly more likely than company-owned outlets to charge...

Full description

Saved in:  
Bibliographic Details
Authors: Graddy, Kathryn (Author) ; Robertson, Diana C. (Author)
Format: Electronic Article
Language:English
Check availability: HBZ Gateway
Journals Online & Print:
Drawer...
Fernleihe:Fernleihe für die Fachinformationsdienste
Published: Cambridge Univ. Press 1999
In: Business ethics quarterly
Year: 1999, Volume: 9, Issue: 2, Pages: 225-243
Online Access: Volltext (JSTOR)
Volltext (lizenzpflichtig)
Volltext (lizenzpflichtig)
Description
Summary:Our research investigated pricing policies of fast-food restaurants in predominantly black neighborhoods. We argue that the lack of monitoring of franchisees’ pricing policies leads to higher prices. Results indicate that franchisees are significantly more likely than company-owned outlets to charge higher prices based on the proportion of blacks in a neighborhood. These price differences do not appear to be explained away by cost or competition factors. Our findings do not establish an intent to discriminate; nevertheless, we discuss the fairness of the pricing structure found.
ISSN:2153-3326
Contains:Enthalten in: Business ethics quarterly
Persistent identifiers:DOI: 10.2307/3857473