Associated trade

« Back to Glossary Index

It is a form of trade where several companies join together in the same commercial network to optimize their communication and marketing procedures. If the associated companies join together to achieve a common goal, they each retain their legal independence. In general, they use common brand names for better coordination of commercial actions and to participate in purchasing groups.

Born as a reaction to competitive pressure, associated trade today takes several forms: buying groups, collective stores of independent or franchised traders, groups of wholesalers or retailers and voluntary chains of wholesalers and retailers.