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Home→The Westburn Dictionary of Marketing→T→tied house

tied house

Definition:
Usually this term is used within the context of the brewing and public house sectors of the economy. Over the years brewing companies have developed their businesses by buying public houses which are then required to sell the beer, and other drinks manufactured and distributed by the brewer. In this manner the public houses (which are a form of retail outlet) become tied or linked to a specific supplier and are known as 'tied houses'. This system of ownership and distribution favoured by the large brewing organizations has come under criticism in recent years. It is considered by some to be a form of restrictive practice which works against the public interest. A recent (1989) Monopolies Commission investigation into the brewing industry has recommended a reduction in the proportion of public houses operated under the 'tied house' systems by the brewers.

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© Westburn Publishers Ltd 2002, The Westburn Dictionary of Marketing edited by Michael J Baker, ISBN 978-0-946433-01-8. www.themarketingdictionary.com. Entry: [Barry R. Moore],.