Q3. Strategic pricing and price discrimination. Teams use advance pricing strategies to identify differences in the willingness to pay for the same game. The more they can price discriminate, the more consumer surplus they can capture, and the more DWL they can reduce. Perfect price discrimination: if the monopolist can price discriminate perfectly, they can capture all consumer surplus, this is perfect price discrimination. MC=MR=P, overall economic well-being is maximized. P MC D Perfect price MR discrimination graph Variable ticket pricing: Sets ticket prices on how attractive a game is. When desire to see a game goes up, the market demand curve shifts to the right