Monopoly Rights in Pharma Franchise

Monopoly Rights in Pharma Franchise are very important to get known with. This article will help you understanding this.

What is the meaning of Monopoly Rights:

Monopoly Right, by definition, is a privilege granted by an authority to a person or entity to exclude all others from using, producing or selling a certain invention, product or service. This is mainly an exclusive control of a commodity or service in a particular market.

Monopoly Rights

Monopoly Rights in PharmaFranchise business:

When a Pharma Franchisee takes distribution rights of a Pharma Company in Chandigarh, Monopoly rights to handle the distribution of their pharma products are given to him for his designated area(s). No other franchisee of that Pharma Company is allowed to do business in that particular area. If any other franchisee of that pharma company (from some other neighbouring areas) tries to sell same brands, the company is supposed to take suitable actions on the defaulting franchisee including discontinuation of  its agreement with that person. So with this assurance  franchisee faces no competition from the same brand in his area.

With the help of Monopoly Rights, the franchisee is able to expand his business significantly. He is able to build a loyal base of customers. Only he and the Pharma Company get the benefit of loyalty generated in this way. No third person can take away the customer equity created in that area.