The modern theory of price discrimination begins with the work of Arthur Cecil Pigou (1877- 1959) and is defined by Machlup (1955): "Price discrimination can be defined as the practice of a firm or group of firms selling (leasing) at prices disproportionate to the marginal costs of the products sold (leased) or purchasing (renting) at prices disproportionate to the marginal productivity of the purchased (hired) factors ". But in simpler terms, “price discrimination is often defined as charging different prices to different customers for the same or very similar offering” (Smith, 2004). The aim is to increase profit by reducing consumer surplus. If the same price were charged to all consumers, some potential revenue would be lost because some consumers would be willing to pay more. But before answering the question of whether or not companies should discriminate prices, we will have to distinguish between the various types of price discrimination and before that it is important to note that there are three conditions necessary for a company to practice price discrimination, namely that is: the company must be a price maker, the elasticity of demand must be different in different markets and, finally, the market must be clearly separated. For starters, the extent to which the monopolist can capture consumer surplus, which is the "extra satisfaction" or utility obtained by consumers by paying an actual price for a good that is less than what they would have been willing to pay" (Davies, Lowes and Pass, 2000), is called degree of price discrimination and there are three degrees of price discrimination: first degree, second degree and third degree price discrimination. "First degree price discrimination occurs when the market ... price discrimination or not. This can be done by analyzing the advantages and disadvantages of price discrimination on businesses, consumers and society. So, first of all, as already mentioned above, companies should price discriminate to increase their revenue consequently profits since price discrimination allows them to capture consumer surplus. Furthermore, first price discrimination (perfect price discrimination) brings economic efficiency since it eliminates the deadweight loss which is "the reduction in consumer surplus and producer surplus that results from the production of a product. is limited to a level below the optimal level of efficiency that would prevail under conditions of perfect competition" (Davies, Lowes and Pass, 2000).