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Exclusive dealing
 

 

Restriction by a manufacturer of the sales of his products to particular sales outlets. Examples are 'tied garages' that seil only one brand of petro!, or pubs owned by particular breweries. Exclusive dealing has to be registered and approved under the Restitictive Trade Practices Act. Exclusive dealing is usually defended on grounds of maintaining standards of service to customers, e.g. for motor cars, although it might in certain circumstances prevent a new manufacturer from seiling his products or a new retailer from competing with existing retail outlets

Reference: The Penguin Dictionary of Economics, 3rd edt.