Economic Analysis of Business Practice
St Lucia National Parks charge residents the same amount, but in a different currency. They are charged 7EC while visitors are charged $7USD. The current exchange rate is 1EC to 2.7USD.http://www.slunatrust.org/sites/pigeon-island-national-landmark/
In Tanzania, National Parks have three different rates. One for tourists (on average $40 per day), one for foreigners with resident permits (on average 50% of the tourist rate), and one for Tanzanian citizens ($1 per day). Plenty of tourists and tour companies complain about the discriminatory prices, but when you have a monopoly on Mt. Kilimanjaro and the Serengeti migration.....why not?
My mother was born in India but moved to the states when she was very young. She speaks Hindi fluently but still has an American accent when conversing and cannot remember how to read all the characters. In India sometimes we get lucky other times we pay slightly more than a local but less than a total foreigner.
As an American I find it very convenient to travel with my daughter in law to India. She too was born in India, but now is an American citizen. It sure is nice to benefit in the markets as she barters on my behalf.
One time while traveling in Mexico, my home country, I visited a beach destination that was accustomed to receiving American tourists. One evening, I hailed a taxi in the street and, when I got in, the driver realized I was Mexican. He asked me to please step out of the cab since he knew he was not going to be able to charge me in US dollars for the trip. I was shocked. Clearly I was a low value customer in his blatant price discrimination scheme.
Many attractions deploy this policy. At the Cheekwood Botannical Gardens in Nashville, TN the annual pass is about 2x as expensive as a daily entrance ticket. Cheekwood assumes most locals will buy the annual pass, and raises the price of daily tickets, targeted towards tourists, etc.
This comment has been removed by a blog administrator.