Reciprocity arrangements:
A) usually boost sales force morale.
B) make it easier for new firms to enter the market.
C) lead to longer periods of negotiation in business buying.
D) are encouraged by the Federal Trade Commission.
E) are described by none of the above.

Question

Quizplus · Accepted Answer

Reciprocity arrangements, where companies agree to buy from each other, can complicate market entry for new firms, potentially reduce competition, and may not be encouraged by regulatory bodies like the Federal Trade Commission due to concerns about market fairness and competition. They do not necessarily boost sales force morale or lead to longer negotiation periods.

Reciprocity Arrangements