The Use of PMs by Manufacturers May Result in Channel

question 77

True/False

The use of PMs by manufacturers may result in channel conflict due to a retail salesperson's divided loyalty.

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Definitions:

Purposive Approach

A method of statutory interpretation where courts look at the legislature's intent behind the law to apply it to specific cases.

RPM Agreement

The agreement between a retailer and a manufacturer that the retailer will sell certain products at a price set by the manufacturer.

Small Retail Co.

A business that sells goods or merchandise to consumers in relatively small quantities for personal, non-business use.

Auto Supply

Businesses or stores that specialize in providing parts, tools, and accessories for automobiles.