Franchise contracts included regionally exclusive licenses (no competing same-brand dealer within a certain distance), which made the franchise more valuable and kept franchise fees higher than they otherwise would be.
causalpending
Speaker
Michael MungerEvidence Quote
“it's more valuable if I put in there a regional exclusivity clause”
Source
Michael Munger on Franchising, Vertical Integration, and the Auto Industry 06/22/2009— EconTalkCreated: 6/17/2026, 10:31:26 AM
My Notes
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