Which is an example of price discrimination?

Price discrimination occurs when a business charges different prices for the same product or service to different consumers based on their willingness to pay, rather than differences in costs. In the context of the choices provided, offering discounts for students at cinemas is a clear example of price discrimination.

By providing a lower ticket price for students, the cinema is segmenting the market based on consumer characteristics—specifically age and financial status—allowing it to capture consumer surplus from students who might be more sensitive to price due to limited budgets. This strategy enables businesses to maximize revenue by attracting different groups of consumers who would otherwise be unable to afford the full price.

The other options either do not involve setting differing prices for the same product or target a broader audience without any differentiation based on consumer characteristics, making them less relevant examples of price discrimination.