How Does a Distributor Differ from an Agent

question 60

Multiple Choice

How does a distributor differ from an agent?

• A) The agent pays royalties to the multinational enterprise.
• B) The distributorship shares profits with the multinational enterprise.
• C) The distributor takes title to the merchandise it receives and thereby bears many of the risks connected with commercial sales.
• D) The distributor has the power to enter into contracts on the principal's behalf,but the agent does not.

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