Explanation:

Exclusive distribution is a situation where a company decides to make its products available to customers through a very limited number of retailers or distributors. The term refers to a kind of agreement between a producer a few intermediaries with the purpose of providing the products to consumers in a specific geographical area.
The word “exclusive” implies that the distribution is carefully defined and implemented by the producer through only one channel. Under this type of arrangement, the distributor chosen by the producer is the only one that owns the rights to sell the product. This term differs from other possible types of distribution that place the products in numerous different retailers and channels.

Some companies have reasons to choose exclusive distribution as the strategy to sell their goods. It might want to show a prestigious image to consumers. Or maybe the producer wants to control better what kind of services and environments are associated to its products.