Red's Sport Equipment Inc.and Sienna Athletic Company are the chief competitors in their market.They agree that Red's will operate only north of the Mason-Dixon line and Sienna will operate only south of the same line.Under antitrust law,this is most likely

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This is a classic example of market allocation or division, which is considered a per se violation of antitrust law. The agreement between Red's and Sienna to divide the market by geography is a clear violation of the Sherman Antitrust Act and is illegal regardless of whether their competitors have similar agreements or if their customers agree to honor the arrangement.