What are the advantages and disadvantages of dual distribution? Independent retailers argue that it is an unfair method of competition. Do you agree or disagree? Explain your answer. dualSupply-Chain Constraints• Territorial restrictions• Limit the geographic area in which a retailer mayresell its merchandise• Lessen competition between retailers• Violation of Sherman Antitrust Act• Dual distribution• A manufacturer sells to independent retailers andalso through its own retail outlets• Adversely affects the manufacturer-retailerrelationshipsLO 4Exclusive DealingOne-way exclusive dealing arrangement• Retailer has exclusive right to merchandise thesupplier's product in a particular trade areaTwo-way exclusive dealing agreementSupplier offers the retailer:• Exclusive distribution of a merchandise line/product ina particular trade area• Retailer agrees to return the manufacturer's favorLO 4Supply-Chain ConstraintsTying agreement• Seller with a strong product or service requires abuyer (the retailer) to:• Purchase a weak product or service as a condition forbuying the

Dual distribution is a marketing practice where a company sells its product or services through…

Answered: What are the advantages and…

What are the advantages and disadvantages of dual distribution? Independent retailers argue that it is an unfair method of competition. Do you agree or disagree? Explain your answer.

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

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Question

What are the advantages and disadvantages of dual distribution? Independent retailers argue that it is an unfair method of competition. Do you agree or disagree? Explain your answer.

dual
Supply-Chain Constraints
• Territorial restrictions
• Limit the geographic area in which a retailer may
resell its merchandise
• Lessen competition between retailers
• Violation of Sherman Antitrust Act
• Dual distribution
• A manufacturer sells to independent retailers and
also through its own retail outlets
• Adversely affects the manufacturer-retailer
relationships
LO 4
Exclusive Dealing
One-way exclusive dealing arrangement
• Retailer has exclusive right to merchandise the
supplier's product in a particular trade area
Two-way exclusive dealing agreement
Supplier offers the retailer:
• Exclusive distribution of a merchandise line/product in
a particular trade area
• Retailer agrees to return the manufacturer's favor
LO 4
Supply-Chain Constraints
Tying agreement
• Seller with a strong product or service requires a
buyer (the retailer) to:
• Purchase a weak product or service as a condition for
buying the

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