There are different types of licensing and distribution agreements that you can use. From a simple licensing contract to a global licensing agreement, you`ll find the perfect choice of contract for your manufacturer-distributor relationship. Of course, contracts are linked to the risk of legal challenges. But if you do your research and make sure you`re aware of the potential risks, you can trade wasted investments for successful returns. Take the opportunity to choose the perfect licensing and sales model for you. As far as the contract agreement is concerned, it is your responsibility to analyze the various challenges. You should also consider specific considerations that may arise in international licensing and distribution agreements. Some of these are: There are many different business requirements that a manufacturer/supplier may require from a distributor it plans to name, which remains for the duration of the agreement. For example – and the list is not exhaustive – the establishment of authorisations of authority for the marketing of products in the market in question; Setting up a product marketing system Advertising attending conferences Employing professional staff Technical/professional customer service; a warranty and repair system, etc. Often, the definition of such conditions is highly appropriate from the outset by the nature and nature of the distributor and, above all, by its intention and willingness to establish a long-term distribution relationship between suppliers and distributors. Unlike the exclusive distribution contract, the submission of the non-exclusive distribution agreement allows the manufacturer to grant several companies the distribution rights for the resale of the products or services concerned in a given market. If you enter into a typical non-exclusive agreement, you can count on competition between different distributors when selling products and services.
While it may be suspected that non-exclusive distributors do not have the overall comfort of the exclusive relationship, non-exclusive opportunities offer substantial competition.
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