The Medical City hospital charges more for the same medicine if you are in a private room than if you are in a ward section. Similary, doctors charge higher professional fees in a private room. A friend, working as a nurse at another hospital, confirms this practice at their hospital.
A play area for kids inside a mall charges 120/hour on weekdays, but 140/hour on weekends. There is nothing unusual on weekends — no clowns, no free drinks, no sexy attendants.
Is this a smart pricing scheme or are these businesses taking advantage of the situation? Patients admitted in private rooms are, in general, richer than those in the ward section. For most kids, weekends are the only time for mall.
Customers are willing to pay more for products (or services) that they know has more benefits and features than cheaper alternatives. A private room costs more than a ward because it offers privacy, more space, and guaranteed quiet time. But an antibiotic pill has the same effect whether it is taken in a quiet private room or in a noisy ward section yet why is it priced differently?
If the play area offers nothing better on weekends, does it have the right to raise prices?