price parity

USAGE SUMMARY

"price parity" is a correct and usable phrase in written English.
It is used to refer to the situation in which two or more parties in a transaction agree to the same amount of money in exchange for goods or services. For example: "The two companies agreed to a price parity in order to ensure fair competition."

✓ Grammatically correct

News & Media

Science

Formal & Business

Human-verified examples from authoritative sources

Exact Expressions

53 human-written examples

Such price parity, he said, makes more sense on a higher-priced luxury model like the MKZ than it does on more affordable lines.

The New York Times

Finally, Amazon says the books "must be offered at or below price parity with competition".

The Guardian - Tech

Probably one at price parity – and indeed philosophical parity – with Diesel's Only The Brave.

The Guardian - Lifestyle

She developed the Ikle Index, which measures economic purchase price parity.

The New York Times

"What we've learned is that if you can get close to price parity on organic, consumers want it," Goodman says.

The Guardian

But big hotel franchises have not been satisfied with simply maintaining price parity between themselves and the e-travel sites.

The New York Times

Human-verified similar examples from authoritative sources

Similar Expressions

7 human-written examples

Freed from the need to uphold a gold-price parity, these countries could lower interest rates and so stimulate spending.

The Economist

"Petrobras needs not just a one-off price rise, but international price-parity," she says.

The Economist

We could also see a cap on the cost of replacement vehicles and repair costs, compulsory audits to ensure repair quality, a ban on price-parity clauses and clearer information for customers looking at add-ons on price-comparison sites and insurers' own websites.

Independent

The CC says that while comparison websites do increase competition for motorists, there are contractual "price-parity" clauses that prevent them from offering cheaper premiums elsewhere – if insurers have to offer the same price across all price-comparison websites it actually reduces competition.

Independent

Overall, measured by purchasing-price-parity adjusted GDP, emerging markets will create $1.6 trillion more goods and services than advanced markets in 2013, according to the International Monetary Fund.

BBC

Expert writing Tips

Best practice

When discussing market competitiveness, use "price parity" to emphasize that products or services are priced equally or nearly equally to those of competitors. This is especially useful in sectors like energy, technology, and retail.

Common error

Don't confuse "price parity", which refers to equivalent pricing, with purchasing power parity (PPP), an economic theory that compares different countries' currencies through a market "basket of goods" approach.

Linguistic Context

"Price parity" functions as a noun phrase, often serving as the subject or object of a sentence. It describes a specific economic condition or goal related to pricing. Ludwig AI examples show it used in contexts ranging from renewable energy to retail markets.

Expression frequency: Very common

Frequent in

News & Media

55%

Science

25%

Formal & Business

10%

Less common in

Wiki

5%

Encyclopedias

3%

Academia

2%

Ludwig's WRAP-UP

"Price parity" is a noun phrase indicating equivalent pricing, commonly used in business, science, and news contexts. As Ludwig AI confirms, the phrase is grammatically correct and frequently employed to discuss economic competitiveness. While purchasing power parity is related, it has to do with macroeconomic comparisons. For related terms, you can consider "equal pricing" or "comparable pricing". A key takeaway is that while aiming for equal prices can foster fairness, understanding the nuances of market dynamics is crucial.

More alternative expressions

Phrases that express similar concepts, ordered by semantic similarity:

equal pricing

Focuses on the equality of prices, simplifying the expression.

equivalent price points

Highlights the prices being at similar levels, adding a marketing perspective.

comparable pricing

Emphasizes the prices being similar enough to compare, slightly less strict than parity.

price equilibrium

Indicates a state of balance in prices, often used in economics.

level playing field in pricing

Introduces the concept of fairness and equal opportunity in pricing.

uniform pricing

Refers to a consistent price across different markets or customers.

standardized pricing

Highlights the establishment of a common price standard.

aligned pricing

Focuses on the prices being in agreement or alignment with each other.

consistent pricing strategy

Emphasizes the consistency in how prices are set, relating to business strategy.

fair price alignment

Combines fairness with the concept of prices being aligned.

FAQs

What does "price parity" mean?

"Price parity" refers to a state where the prices of similar goods or services are equivalent across different markets or providers. It often aims to create a level playing field or ensure fair competition.

How is "price parity" used in the context of renewable energy?

In renewable energy, "price parity" signifies the point at which the cost of renewable energy sources becomes equal to or less than that of traditional fossil fuels, making them economically competitive.

What are some alternatives to using the phrase "price parity"?

You can use alternatives like "equal pricing", "comparable pricing", or "equivalent price points" depending on the context.

How does "price parity" affect consumers?

"Price parity" can benefit consumers by promoting fair prices and preventing price gouging. It can also drive innovation as businesses compete on factors other than price.