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The Manufacturer of Perfume Enters into an Agreement with Several

Question 122

Multiple Choice

The manufacturer of perfume enters into an agreement with several distributors about the price at which the distributors can resell the perfume.The distributors who do not agree to the pricing suggestion are not able to sell the perfume.The agreement between manufacturers and distributors is


A) resale price maintenance.
B) an interlocking dealership chain.
C) always inefficient.
D) a tying arrangement.
E) an example of an exclusive deal.

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