City Manufacturing Corporation conditions shipments of its products to Exurb Stores,Inc.,on Exurb's agreement not to buy products from Fresh Works Company,City's competitor.This is

Question

City Manufacturing Corporation conditions shipments of its products to Exurb Stores,Inc.,on Exurb's agreement not to buy products from Fresh Works Company,City's competitor.This is​

Quizplus · Accepted Answer

This is an example of an exclusive-dealing contract, as City Manufacturing Corporation is conditioning shipments on a promise from Exurb Stores, Inc. not to buy products from City's competitor, Fresh Works Company. A tying arrangement would involve the sale of two products together, and price discrimination would involve charging different prices for the same product to different customers. A unilateral refusal to deal would involve City Manufacturing Corporation refusing to do business with Exurb Stores, Inc. altogether.

City Manufacturing Corporation Conditions Shipments of Its Products to Exurb