Question

Sifco Inc., a tire manufacturing company, stipulates that Rambox Corp. should buy its entire line of Roadgrip tires. Sifco has significant market power in a particular variety of Roadgrip tires for which no substitutes are available in the market. It uses this power to its advantage and does not agree to let Rambox buy less than the entire line of Roadgrip tires. The sales contract between Sifco and Rambox is an example of a ________.

Answer 1

Reciprocal dealing arrangement.

Step-by-step explanation:

The reciprocal dealing arrangement is the agreement where the buyer could offer to purchase the goods of the seller under the condition when the seller purchased the other type of the goods from the original buyer

So as per the given situation, the sales contract that made between the sifco and the rambox represent the reciprocal dealing arrangement

Hence, the same should be considered