When a supplier creates a restrictive agreement that prohibits intermediaries that handle its product from selling competing firms' products,_______________ has occurred.

Question

Quizplus · Accepted Answer

A restrictive agreement that prohibits intermediaries from selling competing products is known as an exclusive dealing contract. It is a type of vertical agreement where the supplier provides exclusivity to the intermediary in exchange for the intermediary handling only the supplier's products.

When a Supplier Creates a Restrictive Agreement That Prohibits Intermediaries