GGG Has Set Up a Geographic Distribution System to Promote

question 15

Multiple Choice

GGG has set up a geographic distribution system to promote its products and also to make sure that intrabrand pricing competition is as limited as possible. Will courts uphold such agreements?

• A) No, geographic limitations are reviewed under a per se standard.
• B) No, except in cases where the company can show that it absolutely necessary for the company's success.
• C) Yes, territorial limitations are reviewed under the rule of reason and are generally upheld.
• D) Yes, as long as the territories correspond to natural boundaries and dividing lines.

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Definitions:

Equilibrium Constant

A numerical value that expresses the ratio of concentrations of products to reactants at equilibrium, specific for a given reaction at a given temperature.

Gibbs Free Energy

A thermodynamic quantity used to predict the feasibility of a reaction at constant temperature and pressure.

PKa Values

Quantitative measures that describe the acidity of a compound, representing the negative log of the acid dissociation constant (Ka).

Equilibrium Constant

A numerical value that represents the ratio of concentrations of products to reactants at equilibrium in a reversible chemical reaction.