The Role of Tying Contracts for the Optimal Marketing of Durable Products
Tying contracts are well-known for their anti-competitive potential. This paper questions their negative image by showing that tying contracts can be necessary to implement price signals which overcome problems of asymmetric information in the introductory phase of a new durable product. The argument is applied to two antitrust cases against tying arrangements, the German Meto case and the US American SCM case.
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|Date of creation:||Aug 1995|
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