DX Motors has established legal relationships with its suppliers and distributors in such a way as to establish overall economies of scale and to reduce conflict.This is an example of a(n)_____ vertical marketing system.

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A contractual vertical marketing system involves independent firms at different levels of production and distribution who join together through contracts to obtain more economies of scale and reduce conflict. In this case, DX Motors has established legal relationships with its suppliers and distributors through contracts.

DX Motors Has Established Legal Relationships with Its Suppliers and Distributors