One of the structural characteristics of distribution in Korea is that most specialty goods are distributed through exclusive dealing (ED) arrangements. Research to date has shown that this system has a profound impact on the competitive landscape of industries and the economic behavior of economic agents (producers, sellers, and consumers), and that the interests or welfare of each economic agent change considerably. The purpose of this study is to review the economic effects of exclusive dealing that have been studied in the fields of marketing and industrial organization—particularly the effects on industry structure, producer profits, retail prices, consumer welfare, and social welfare—and to empirically test the determinants of ED distribution structures. The findings of ED research to date can be summarized as follows. The anti-competitive or pro-competitive mechanisms through which ED affects industry structure have been explained in highly diverse ways, and most studies agree that manufacturers benefit from ED. Furthermore, ED increases retail prices and reduces consumer welfare. Regarding the impact of ED on social welfare—a concept encompassing producer surplus, retailer surplus, and consumer welfare—there are both positive and negative aspects; however, considering the Korean context, non-exclusive dealing (NED) is generally judged to enhance social welfare. The empirical analysis of ED determinants revealed that uncertainty of distribution cost information and brand loyalty were not significant determinants of distribution structure, while variance in distribution costs, degree of product differentiation, and product involvement were found to be significant.