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Intermediaries who are independent, but agree to cooperate have likely formed a(n) distribution system.

Question

Intermediaries who are independent, but agree to cooperate have likely formed a(n) distribution system.

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Solution

The intermediaries who are independent but agree to cooperate have likely formed a "Horizontal Marketing System". This type of distribution system involves two or more companies at one level joining together to follow a new marketing opportunity. By working together, companies can combine their capital, production capabilities, or marketing resources to accomplish more than what each one could do alone.

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