Question

Venus LLC is a large monopolistic electronic firm. The firm has been putting a lot of pressure on some of the complementor companies, asking them to bundle their products along with the products made by Venus LLC, which will make it mandatory for customers to buy Venus LLC products along with the complementary products, even if they are unrelated. Which of the following is Venus LLC demonstrating?

a. Dumping strategy
b. Anticompetitive behavior
c. Agency strategy
d. Price limiting 9.
e. On-the-job consumption

Answer 1

Answer: B.) Anticompetitive behavior.

Explanation: To start with, complementor companies in the context above refers to organizations or establishment which are separate but offers products or services which come lemnts the product or services offered by another company. One of the most common example is the relationship between Microsoft and Intel. Microsoft and Intel are two separate companies, with Intel's chiosets complementing Microsoft's software packages. However, mandating complementor companies to always bundle one's product when selling such as the case of Venus LLC is an Anticompetitive behavior in the path of Venus LLC who wants to ensure she's unrivaled in the electronic market.