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This clause should also be amended if the manufacturer is granting exclusive sales rights to the sales representative. For exclusive rights, the contract should provide that the manufacturer agrees not to sell and not to authorize any others to sell or otherwise distribute its products in the country. Exclusivity of sales benefits the sales representative and is most often granted when a market is relatively small. For larger markets, companies may consider granting exclusive rights within certain territories, which allows for sufficient market penetration while at the same time prevents competition among different representatives selling the same products. If exclusive rights are granted, the manufacturer should not reserve any selling rights for itself, because such sales will cut into the representatives sales. It is in the manufacturers best interest if the local sales representative succeeds; direct sales are likely to be less profitable because of the extra overhead costs inherent in selling overseas.
OBLIGATIONS OF SALES REPRESENTATIVE. The Sales Representative agrees to sell and market the Goods aggressively within [country] on behalf of the Manufacturer. The Sales Representative will forward all customer orders to the Manufacturer in a timely manner, and in no event more than [number] days from receipt of the order. The Sales Representative will not promote, advertise, offer for sale, or sell any goods that are identical to, confusingly or deceptively similar to, or otherwise competitive with the Goods. The Sales Representative will comply with the Manufacturers guidelines on prices, charges, terms, and conditions for the sale of the Goods, which guidelines are subject to change from time to time. For purposes of achieving maximum sales within [country], the Manufacturer will formulate these guidelines in consultation with the Sales Representative, although the Manufacturer will make the final decision. The Manufacturer will give the Sales Representative wr
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