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tying arrangement

tying arrangement

8.4
A deal in which a seller makes a buyer buy one product to get another
  • noun
  • /ˈtaɪɪŋ əˈrænʤmənt/
  • Formal
translation icon : acuerdo de atado
  • Again, simple economic analysis demonstrates that tying arrangements are not devices by which monopoly power—the power to restrict supply of a product so as to drive up its market price—can be multiplied.

Examples

  • The Court has recognized that tying arrangements are not simply devices to multiply monopolies, and it has effectively eliminated the rule that such arrangements are illegal per se, making successful challenges very difficult.

    Academic text (1991)
  • In some circumstances, it is true, a tying arrangement can be used for price discrimination as a counting or metering technique to charge different customers different prices according to the amount of their use of the product.

    Academic text (1991)
  • If IBM is using its copyright and patent monopolies in order to maintain a possibly illegal product-tying arrangement, then suing them under antitrust laws is eminently fair.

    Blog text (28)
  • The store offered a tying arrangement where customers could only buy the latest smartphone if they also purchased a protective case.

  • In a tying arrangement, a software company might require users to buy its antivirus program if they want access to its email service.

  • The new car dealership employed a tying arrangement, allowing buyers to purchase a vehicle only if they also agreed to buy an extended warranty.

Synonyms

strings attached
vstying arrangement
  • Informal
24 5.6

Come with extra rules you must accept

requires buying a different product as a mandatory condition

How Restrictive

requirements contract
  • Specialized
7.7
tying arrangement
  • Formal
8.4
bundling
1 3.4

Surface Forms

Morphology

tying + arrangement

A B1 learner who knows 'tying' (securing together) and 'arrangement' (an agreement) can infer the phrase refers to an arrangement that involves 'tying' in some sense, so there is partial compositionality. However, the specific legal/economic sense — a conditional sale requiring a buyer to purchase an additional product — is specialized and not directly predictable from the everyday meanings, so prior exposure or domain knowledge is needed.

Etymology

Tying arrangement paints a simple picture: a seller 'ties' two products together so a buyer cannot take one without the other. The word tying shows the 'tied' connection and arrangement means a deal, so the phrase means a deal that makes you 'buy' a second product as a condition of the first.