The diploma thesis deals with the impact of the price on the consumer behavior of generation Y members. The main aim of this diploma thesis is to point out to possibility of using the Price Sensitivity Meter (PSM) as one of several price sensitivity tests for small and medium-sized enterprises. The thesis is divided into four chapters. It contains 7 charts, 5 tables and 14 images. In the theoretical sources, we have dealt with the characteristics of the Y generation with regard to their consumer behavior. We have explained the causes and context of the consumer's purchasing and decision-making process. Based on the available literature, we defined the basic characteristics of the price and methodology and rules of the PSM test closely. In the following two chapters we described the aims and methodology of the work. In the last analytical part of the thesis we have presented examples of price perceptions and luxury products. We evaluated the data obtained with the survey conducted on Y generation consumers by using the PSM method. Through these datas we try to presented our proposeals to ABC company for the future.