What is the name of your state? Texas, but selling throughout North America.
My company has an established presence with a large quantity of distributors in North America. However, we've thus far been unsuccessful in penetrating three or four large catalog distributors due to competing lines in those catalogs. Basically, they don't have much interest in investing time with my products since there is little incentive for them to do so.
To strengthen our position, I drafted a marketing plan to leverage our factory's purchasing power in order to gain page space in their catalog(s). The plan simply consisted of an agreement between our two companies, wherein we would agree to purchase large volumes of competitvely priced components from them in return for multiple pages in their catalog.
At first, the plan was met with great enthusiasm from the general staff. However, as we moved forward there arose a few concerns over the possible legal implications of such an agreement. So for prudence sake, we put the program on hold pending further investigation.
1) Can anyone think of any legal issues that should concern us with such a program?
2) Does anyone have any information (links) on similar agreements that I might be able to use as a precedent for moving forward. If, of course, there are no subsequent legal concerns.
Thanks in advance!!
My company has an established presence with a large quantity of distributors in North America. However, we've thus far been unsuccessful in penetrating three or four large catalog distributors due to competing lines in those catalogs. Basically, they don't have much interest in investing time with my products since there is little incentive for them to do so.
To strengthen our position, I drafted a marketing plan to leverage our factory's purchasing power in order to gain page space in their catalog(s). The plan simply consisted of an agreement between our two companies, wherein we would agree to purchase large volumes of competitvely priced components from them in return for multiple pages in their catalog.
At first, the plan was met with great enthusiasm from the general staff. However, as we moved forward there arose a few concerns over the possible legal implications of such an agreement. So for prudence sake, we put the program on hold pending further investigation.
1) Can anyone think of any legal issues that should concern us with such a program?
2) Does anyone have any information (links) on similar agreements that I might be able to use as a precedent for moving forward. If, of course, there are no subsequent legal concerns.
Thanks in advance!!