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Author Question: What is an exclusive distribution agreement? Why do firms enter into exclusive distribution ... (Read 60 times)

abern

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on: Jul 6, 2018
What is an exclusive distribution agreement? Why do firms enter into exclusive distribution agreements with other firms?
 
  What will be an ideal response?

Question 2

A(n) ________ statement describes why a company exists and what it aspires to become.
 
  A) tactical
  B) values
  C) mission
  D) operations
  E) strategic


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jaykayy05

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Reply #1 on: Jul 6, 2018
Answer to Question 1

Exclusive distribution agreements give a retailer or other intermediary the exclusive rights to sell a company's products. The advantage to giving out an exclusive distribution agreement is to motivate a retailer or other intermediary to make a concerted effort to sell a firm's products without having to worry about direct competition. For example, if Nokia granted AT&T the exclusive rights to sell a new type of cell phone, AT&T would be more motivated to advertise and push the phone than if many or all cell phone companies had access to the same phone.

Answer to Question 2

C


abern

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Reply 2 on: Jul 6, 2018
YES! Correct, THANKS for helping me on my review

robbielu01

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Reply 3 on: Yesterday
Great answer, keep it coming :)

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