Pacific Bicycle,Inc. ,is the major distributor of bikes in the state of California.Pacific's closest competitor is Quanto Bike Company,another California firm.They agree that Quanto will distribute bikes in northern California and Pacific will distribute bikes in southern California.This is

Question

Quizplus · Accepted Answer

The agreement between Pacific Bicycle, Inc. and Quanto Bike Company to divide the market and distribute bikes in different regions of California is a market division. This is an illegal practice under antitrust laws as it reduces competition and can lead to higher prices for customers.