A rope tow consists of a cable or rope running through a bullwheel (large horizontal pulley) at the bottom and one at the top, powered by an engine at one end. In the simplest case, a rope tow is where passengers grab hold of a rope and are pulled along while standing on their skis or snowboards and are pulled up a hill. The grade of this style of tow is limited by passenger grip strength and the fact that sheaves (pulleys that support the rope above the ground) cannot be used.
Text from Wikipedia