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In a distribution agreement, the key clause that every distributor desires is exclusivity. This means that the distributor is the sole entity allowed to distribute or sell the goods in a designated region, excluding even the supplier from competing. The reason for seeking exclusivity is to justify the time and financial investment the distributor makes in marketing the brand or product. This exclusivity ensures that the distributor has a protected market position, allowing them to maximize their efforts without competition from others, including the supplier.
