DISTRIBUTION AGREEMENT Meaning and
Definition
-
A distribution agreement refers to a legally binding contract between two parties, typically a manufacturer or supplier and a distributor, that outlines the terms and conditions governing the distribution and sale of products or services. This agreement serves as a framework or roadmap for how the manufacturer's goods or services will be marketed, sold, and delivered to end customers through the distributor's network.
The distribution agreement outlines various essential components, including the rights and obligations of both parties, the territory or geographical area in which the distributor can operate, the duration of the agreement, and the terms of payment and pricing. It also specifies the nature and extent of the distributor's authority, such as whether they have exclusive or non-exclusive rights to distribute the products in a particular region.
Additionally, a distribution agreement may address issues such as the minimum quantity or sales targets to be achieved, provisions for intellectual property rights, confidentiality requirements, the role of each party in marketing and advertising, as well as the terms and conditions for terminating the agreement.
Distribution agreements play a vital role in facilitating effective and efficient supply chain management, allowing manufacturers to expand their market reach and tap into new customer bases through the established distribution networks of their partners.
Common Misspellings for DISTRIBUTION AGREEMENT
- sistribution agreement
- xistribution agreement
- cistribution agreement
- fistribution agreement
- ristribution agreement
- eistribution agreement
- dustribution agreement
- djstribution agreement
- dkstribution agreement
- dostribution agreement
- d9stribution agreement
- d8stribution agreement
- diatribution agreement
- diztribution agreement
- dixtribution agreement
- didtribution agreement
- dietribution agreement
- diwtribution agreement
- disrribution agreement
Etymology of DISTRIBUTION AGREEMENT
The word "distribution" comes from the Latin word "distributio", which means "a dividing" or "a sharing out". It is derived from the verb "distribuere", which means "to divide" or "to distribute".
The word "agreement" comes from the Latin word "agreementum", which is derived from the verb "agreed", meaning "to please" or "to comply".
Thus, the etymology of the term "distribution agreement" implies a mutual understanding or shared agreement regarding the division or sharing out of something, particularly in terms of the distribution of goods or products.
Similar spelling word for DISTRIBUTION AGREEMENT
Infographic
Add the infographic to your website:
