Question

The following day Kamal, being the most competent hairdresser on the street, was contemplating charging higher than agreed upon price. Which of the following would enable him to charge more with minimal violation of the agreement?

• A. He should introduce a new and specialized service at Rs. 130.
• B. He should open another shop on the same street and charge Rs. 150.
• C. He should charge Rs. 130 for those wanting to jump the queue.
• D. He should charge Rs. 115 for a service to a particular customer and give the next service free.
• E. He should open his shop two hours before others and close it two hours after.
• A. He should charge differential rates for loyal customers.
• B. He should charge the loyal customers lower.
• C. He should make every third visit free for his loyal customers.
• D. He should charge all the agreed upon price.
• J. He should allow his loyal customers to jump the queue.

Answer 1

The Correct Option is A

Step 1: Understanding the scenario.
Kamal is bound by an agreement that fixes the general price of a haircut. If he charges more for the same service, he will be violating the agreement. The question asks which option allows him to earn more money with the least violation of the agreed terms.
Step 2: Evaluate each option.
- (A) By introducing a new and specialized service, Kamal differentiates it from the regular haircut. Hence, charging Rs. 130 is legitimate because it is a new category of service, not a violation of the fixed haircut price. This is minimal violation.
- (B) Opening another shop and charging Rs. 150 is a direct violation and can create disputes with competitors, hence not minimal.
- (C) Charging Rs. 130 for “jumping the queue” is essentially the same haircut, just with priority, which is still a violation of the spirit of the agreement.
- (D) Charging Rs. 115 but giving the next service free distorts the agreed pricing model, creating confusion and still violating the agreement.
- (E) Extending working hours does not increase the price, only increases availability, so it does not help Kamal charge higher.
Step 3: Conclusion.
The most reasonable and least violative approach is to introduce a specialized new service at Rs. 130. This allows Kamal to earn more while formally staying close to the agreement.
\[ \boxed{\text{Correct Answer: (A) He should introduce a new and specialized service at Rs. 130.}} \]

Answer 2

Step 1: Identify the nature of the agreement.
The agreement here refers to the pricing arrangement between Vimal and his customers. Any change in pricing — whether discounts, freebies, or charging differential rates — would constitute a violation of the agreed terms.
Step 2: Examine the options.
- (A) Charging differential rates — Violates the agreed uniform pricing.
- (B) Charging lower rates for loyal customers — Also a violation of the pricing agreement.
- (C) Offering free visits (e.g., every third visit free) — This too alters the agreed-upon transaction terms.
- (D) Charging the agreed upon price — While compliant, it does not address Vimal’s concern of retaining loyal customers, as it offers them no extra advantage.
- (E) Allowing loyal customers to jump the queue — This provides preferential treatment in service delivery without altering the agreed price, thus does not violate the agreement.
Step 3: Conclude.
The only way to reward loyalty without breaking the pricing agreement is to allow customers a non-monetary benefit such as queue priority. Hence, the correct choice is (E).
\[ \boxed{\text{Correct Answer: (E)}} \]