Omega Corporation and Precision Products, Inc., are the principal sup?pliers of their product in their market. They agree that Omega will sell exclusively to retailers and Precision will sell exclusively to wholesalers. Under the Sherman Act, this is

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This agreement between Omega Corporation and Precision Products, Inc. is a per se violation of the Sherman Act. The reason for this is that it involves an agreement between two competitors that has the effect of reducing competition in the market. By dividing the market between themselves, they are effectively reducing the number of options available to consumers, which is a violation of antitrust law. This violation does not depend on whether their competitors make similar deals or whether they acquire monopoly power.