Exclusive distribution often arises because a significant personal selling effort is required with the consumer before product purchase.

Question

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Exclusive distribution is often used for products that require a significant personal selling effort before purchase, such as high-end cars or luxury goods. With exclusive distribution, the producer limits the number of retailers who can sell the product, and those retailers are typically given exclusive territories in which to sell it. This allows the producer to focus their sales efforts on a small number of retailers who are well-equipped to provide the necessary personal selling to consumers.

Exclusive Distribution Often Arises Because a Significant Personal Selling Effort