Exclusive Patronage System
Summary of Exclusive Patronage System
A business practice by which a firm promises all its business to a supplier in return for certain concessions not otherwise available. This practice is most visible in the steamship industry; through the vehicle of the Merchant’s Freight Agreement, a shipper commits his business to a Conference (read this legal term for further details) in return for rate concessions.
(Main Author: William J. Miller)
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