Sherman Act Product Tying

The video tutorial explains product tying as a potentially anticompetitive activity that may violate the Sherman Act or Clayton Act. It involves a seller tying another product to the sale of a primary product, limiting consumer options. For product tying to be illegal, the seller must have substantial market power, and the activity must show a noticeable commercial impact. The FTC evaluates such cases using the rule of reason, considering pro-competitive justifications like maintaining product quality or when products are inherently linked.

What role does the FTC play in evaluating product tying practices?

What are some pro-competitive justifications for product tying?