Question

A firm that sells both Internet-security software and computer antivirus software will sell the antivirus software as a stand-alone product. It will only sell the Internet-security software to consumers in a combined package that also includes the antivirus software. What is this business practice called?

Short answer

Bundling of products results in a different price.

Step-by-step solution

Introduction.

Intellectual property, business plans, financial information, products, services, manufacturing techniques and practices, costs, sources of supply, marketing plans, advertising plans, customer lists, marketing, profits, methods are useful, staff, and business relationships are all examples of business practises.

Given data.

Bundling is the practice of selling web security software and pc antivirus software together. Selling two or more things together is referred to as bundling.

Explanation.

Because consumers must pay more for the bundled products, an antitrust authority can interpret the practice of marketing combination products as price discrimination. Bundling of products results in a different price.