Business questions

A few things I've been curious about. ..

What's to stop a business owner from charging different prices to different clients or customers?

What's to stop a business owner from refusing to do business with anyone they don't want to do business with?

If a business owner decides not to accept a certain persons or groups business, or decides to charge different rates for different people or groups, is that not his or her prerogative, or their right to do so without having to explain why?

Should there be laws to prevent businesses from having such options to begin with?

The answers to your questions may depend in part on the type of business you have and the types of persons or groups you want to exclude.

If you are running a retail business, then you must have a valid reason for excluding someone, or for charging different prices. Your personal preferences do not, under law, constitute a valid reason. Yes, there are laws - federal, state, and municipal - governing such things. These fall under the heading of Civil Rights laws.

Your prerogatives are limited when you decide to go into a business that serves the public. The public's interests are also considered; that's one of the reasons you must get a business license and liability insurance.

To an extent this already happens. Barber shops charge more for women's haircuts, even though they're the same amount of work as men's. Health food stores charge more for anything labeled "Natural" or "Organic" although there's rarely any difference. Insurance for teenagers is sky high. Brokers charges fees to their clients based on their net worth, and lawyers refuse to take clients if they don't think they can, in good conscience, defend them.

As to the rest of your questions, the answer is always the same: lawsuits.

If you slight one customer or even worse a class of customers, you'd better be prepared in court to explain why or you will get fined, according to the laws Howard cites.

Private clubs, clubs serving only members who have paid something to join, are exempt from these laws and you have many who go this route in order to keep the blacks/gays/libruls out.