Special events, like music festivals and large scale conventions, occur in communities throughout the world. Many of these events attract visitors and residents together to one center city in order to celebrate and share information about a subject like music, pop culture, or technology. Large events like this bring many benefits to the communities involved, like the boost in consumers to one area and the development of a communities image to the rest of the world. Although events like this may have many benefits to the community at large, it also may have some downfalls for the residents of the area. In particular the account of increased demand that affects local residents during the time of these large event can be a negative aspect which …show more content…
Especially considering the special events that were mentioned at the beginning of this essay, which cause excess demand to bother local residents by setting off surge pricing on a variety of goods and services. Another example, would be during states of emergency and demand my excess its usual quantity; this was the case for Jessica Seinfeld, author and wife of Jerry Seinfeld, who was charges a 450 dollar uber fee during a small snow storm. Successful examples of variable pricing only work when consumers are treated with fairness and consideration, which should always be understood when setting a price for any good or service. As for my personal position on surge pricing, I find it quite interesting and helpful as well as very bothersome during certain situation. San Francisco is often a popular destination for large events like conventions and music festival, which can be particularly unfair to locals through surge pricing. In addition, raising prices during or after times of crisis like earthquakes or storms is extremely unfair. Overall, I believe that variable pricing is essential in providing ride during high demand or low supply time, because it creates incentives for producer or supplier to be reedy for