An agreement to sell a product on the condition that a buyer also purchases another,usually less desirable,product is referred to as
A)a tying arrangement.
B)price fixing.
C)resale price maintenance.
D)market division.

Question

Quizplus · Accepted Answer

A tying arrangement is the practice of requiring a buyer to purchase a less desirable product in order to be able to purchase a more desirable product. This can be considered anti-competitive behavior, as it can limit consumer choice and can create barriers for entry for smaller businesses. Price fixing refers to an agreement between competitors to set prices at a predetermined level, while resale price maintenance refers to setting a minimum price for which a product can be sold. Market division involves the sharing of markets or customers between competitors.

An Agreement to Sell a Product on the Condition That