What is the term for a restrictive agreement preventing intermediaries from selling competing firms' products?

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The term for a restrictive agreement preventing intermediaries from selling competing firms' products is known as exclusive dealing. This practice occurs when a supplier requires a retailer or distributor to sell only their products and not the products of competing brands. Exclusive dealing arrangements can be advantageous for suppliers because it helps them secure a stable distribution channel and protect their market share by ensuring that intermediaries are committed to promoting and selling only their brand.

This arrangement can also result in some challenges; while it can lead to increased sales for the supplier, it might restrict competition in the marketplace and limit choices available to consumers.

In contrast, exclusive territories refer to agreements that ensure that distributors or retailers have control over a specific geographic area without competition from others selling the same brand. Warehousing pertains to the storage of goods and inventory management, while order processing involves the steps involved in handling customer orders from receipt to delivery. These concepts do not directly relate to the idea of restricting intermediaries from selling competing products, making exclusive dealing the most relevant term in this context.

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