quot;Pluralquot; distribution systems are often found in industrial markets. Although transaction cost analysis has been successfully applied to understanding decisions about distribution systems, these plural forms have been virtually ignored in extant empirical work. Critics suggest that...

Exclusive territory distribution arrangements are commonly observed in many markets. Once deployed, such arrangements are often subject to gray market activity, in the form of unauthorized sales which violate assigned restrictions. Interestingly, however, firms frequently choose to tolerate...

A transaction cost approach is used to investigate a manufacturer's policy towards exclusive territory dealers who bootleg (sell across their assigned territories). We show that optimal enforcement policies will generally tolerate some level of bootlegging. This tolerance is a natural...