A photograph processing machine company requiring customers that buy a processing machine to purchase chemicals and photographic paper from them is an example of
A)bundling.
B)a requirement tie-in sale.
C)quantity discrimination.
D)a two-part tariff.

Question

Quizplus · Accepted Answer

This scenario is an example of a requirement tie-in sale, which occurs when a company requires customers to purchase a related product or service in order to purchase the original product. In this case, the processing machine company is requiring customers to purchase chemicals and photographic paper from them in order to use the processing machine.

A Photograph Processing Machine Company Requiring Customers That Buy a Processing