Exclusive dealing

Exclusive dealing

Exclusive dealing refers to when a retailer or wholesaler is ‘tied’ to purchase from a supplier on the understanding that no other distributor will be appointed or receive supplies in a given area. When the sales outlets are owned by the supplier, exclusive dealing is because of vertical integration, where the outlets are independent exclusive dealing is illegal due to the Restrictive Trade Practices Act, however, if it is registered and approved it is allowed.

Exclusive dealing can be a barrier to entry, it can be defended on the grounds that it is beneficial to consumers as it can allow after sales service to be better.

Examples of exclusive dealing

*Tied petrol stations that only deal with one petroleum supplier.
*Public houses tied to breweries.
*Toshiba exclusively sells large capacity 1.8" hard drives to Apple Computers

ee also

*Anti-competitive practices
*Competition policy
*Fair Trading Act
*Vertical restraints


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Look at other dictionaries:

  • exclusive dealing — Under the Restrictive Trade Practices Act 1976, agreements within the UK which would impose restrictions as to price, terms and conditions, supply, manufacturing processes or potential customers must be notified to the Office of Fair Trading.… …   Law dictionary

  • exclusive dealing — noun 1. The act of abstaining deliberately from any business or other transactions with people of opposite political or other convictions to one s own 2. Boycotting (euphemistic) • • • Main Entry: ↑exclude …   Useful english dictionary

  • exclusive dealing arrangements — A form of vertical integration by contract under which a buyer agrees to purchase all its needs of a particular product from the seller i.e., the buyer agrees not to deal in the same product with a different supplier. At common law, generally… …   Black's law dictionary

  • exclusive dealing arrangements — A form of vertical integration by contract under which a buyer agrees to purchase all its needs of a particular product from the seller i.e., the buyer agrees not to deal in the same product with a different supplier. At common law, generally… …   Black's law dictionary

  • exclusive contract — A contract by which one binds himself to sell to or buy from only one person for his total requirements. See entire output contract exclusive dealing arrangements requirements contract tying contract …   Black's law dictionary

  • exclusive contract — A contract by which one binds himself to sell to or buy from only one person for his total requirements. See entire output contract exclusive dealing arrangements requirements contract tying contract …   Black's law dictionary

  • exclusive — [eks klo͞o′siv, iksklo͞o′siv] adj. [ML exclusivus < L exclusus, pp. of excludere: see EXCLUDE] 1. excluding or tending to exclude all others; shutting out other considerations, happenings, existences, etc. [an exclusive interest in sports] 2.… …   English World dictionary

  • Exclusive right — In Anglo Saxon law, an exclusive right is a de facto, non tangible prerogative existing in law (that is, the power or, in a wider sense, right) to perform an action or acquire a benefit and to permit or deny others the right to perform the same… …   Wikipedia

  • Exclusive Audio Footage — Infobox Album Name = Exclusive Audio Footage Type = studio Artist = Clipse Released = 1999 Recorded = 1996–1997 Genre = Hip hop Label = Elektra Records Producer = The Neptunes Reviews = Last album = This album = Exclusive Audio Footage (1999)… …   Wikipedia

  • Fair dealing — is a doctrine of limitations and exceptions to copyright which is found in many of the common law jurisdictions of the Commonwealth of Nations.Fair dealing is an enumerated set of possible defenses against an action for infringement of an… …   Wikipedia

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