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A concession agreement is a type of negotiated contract giving a company the right to do business with certain requirements. It can refer to a contract between a foreign company and a government, allowing the company to operate in the country. It can also grant the exclusive right to do business in a specific area in exchange for negotiated terms. The agreement is typically worked out between the company and the government, with incentives like tax relief or relaxed restrictions. In some cases, the company may need to make concessions to secure the agreement.