The current status quo regarding such a targeted approach and stratification of specific consumer populations does not seem fair and violates concepts of business ethics and corporate social responsibility to promote equality. While such actions may not be illegal, it is a violation of the bond of trust with customers and can be considered as a predatory marketing practice. On the other hand, it is legal because of the capitalist society which is promoted in the US. Therefore, businesses use this mechanism to drive their profits. Thus, while ethically it is a questionable practice, it is the reality of the marketing economy and, although this approach is selective, it is not inherently discriminatory as people can still purchase goods and services at will.
Companies and organizations in the United States spend billions of dollars to acquire and manage data on consumers such as credit information and transaction histories. Well-off consumers hold great attraction to marketers because they have greater buying potential. Today companies have the ability if they choose to offer a more attractive deal to higher-value customers to win their business. The flip side of this process is that potentially they can discriminate against low-income people who won’t qualify for lower prices. And in most cases, companies don’t permit consumers to access their database to learn what they know about them. Is it fair to stratify consumers in this way so that some get access to more attractive options than others?
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References
Academic.Tips. (2021) 'Companies and organizations in the United States spend billions of dollars to acquire and manage data on consumers such as credit information and transaction histories. Well-off consumers hold great attraction to marketers because they have greater buying potential. Today companies have the ability if they choose to offer a more attractive deal to higher-value customers to win their business. The flip side of this process is that potentially they can discriminate against low-income people who won’t qualify for lower prices. And in most cases, companies don't permit consumers to access their database to learn what they know about them. Is it fair to stratify consumers in this way so that some get access to more attractive options than others'. 24 June.
Reference
Academic.Tips. (2021, June 24). Companies and organizations in the United States spend billions of dollars to acquire and manage data on consumers such as credit information and transaction histories. Well-off consumers hold great attraction to marketers because they have greater buying potential. Today companies have the ability if they choose to offer a more attractive deal to higher-value customers to win their business. The flip side of this process is that potentially they can discriminate against low-income people who won’t qualify for lower prices. And in most cases, companies don't permit consumers to access their database to learn what they know about them. Is it fair to stratify consumers in this way so that some get access to more attractive options than others? https://academic.tips/question/companies-and-organizations-in-the-united-states-spend-billions-of-dollars-to-acquire-and-manage-data-on-consumers-such-as-credit-information-and-transaction-histories-well-off-consumers-hold-great-a/
References
Academic.Tips. 2021. "Companies and organizations in the United States spend billions of dollars to acquire and manage data on consumers such as credit information and transaction histories. Well-off consumers hold great attraction to marketers because they have greater buying potential. Today companies have the ability if they choose to offer a more attractive deal to higher-value customers to win their business. The flip side of this process is that potentially they can discriminate against low-income people who won’t qualify for lower prices. And in most cases, companies don't permit consumers to access their database to learn what they know about them. Is it fair to stratify consumers in this way so that some get access to more attractive options than others?" June 24, 2021. https://academic.tips/question/companies-and-organizations-in-the-united-states-spend-billions-of-dollars-to-acquire-and-manage-data-on-consumers-such-as-credit-information-and-transaction-histories-well-off-consumers-hold-great-a/.
1. Academic.Tips. "Companies and organizations in the United States spend billions of dollars to acquire and manage data on consumers such as credit information and transaction histories. Well-off consumers hold great attraction to marketers because they have greater buying potential. Today companies have the ability if they choose to offer a more attractive deal to higher-value customers to win their business. The flip side of this process is that potentially they can discriminate against low-income people who won’t qualify for lower prices. And in most cases, companies don't permit consumers to access their database to learn what they know about them. Is it fair to stratify consumers in this way so that some get access to more attractive options than others?" June 24, 2021. https://academic.tips/question/companies-and-organizations-in-the-united-states-spend-billions-of-dollars-to-acquire-and-manage-data-on-consumers-such-as-credit-information-and-transaction-histories-well-off-consumers-hold-great-a/.
Bibliography
Academic.Tips. "Companies and organizations in the United States spend billions of dollars to acquire and manage data on consumers such as credit information and transaction histories. Well-off consumers hold great attraction to marketers because they have greater buying potential. Today companies have the ability if they choose to offer a more attractive deal to higher-value customers to win their business. The flip side of this process is that potentially they can discriminate against low-income people who won’t qualify for lower prices. And in most cases, companies don't permit consumers to access their database to learn what they know about them. Is it fair to stratify consumers in this way so that some get access to more attractive options than others?" June 24, 2021. https://academic.tips/question/companies-and-organizations-in-the-united-states-spend-billions-of-dollars-to-acquire-and-manage-data-on-consumers-such-as-credit-information-and-transaction-histories-well-off-consumers-hold-great-a/.
Work Cited
"Companies and organizations in the United States spend billions of dollars to acquire and manage data on consumers such as credit information and transaction histories. Well-off consumers hold great attraction to marketers because they have greater buying potential. Today companies have the ability if they choose to offer a more attractive deal to higher-value customers to win their business. The flip side of this process is that potentially they can discriminate against low-income people who won’t qualify for lower prices. And in most cases, companies don't permit consumers to access their database to learn what they know about them. Is it fair to stratify consumers in this way so that some get access to more attractive options than others?" Academic.Tips, 24 June 2021, academic.tips/question/companies-and-organizations-in-the-united-states-spend-billions-of-dollars-to-acquire-and-manage-data-on-consumers-such-as-credit-information-and-transaction-histories-well-off-consumers-hold-great-a/.