BETHESDA, Maryland (Bloomberg) -- Marriott International Inc., the biggest U.S. hotel company, and closely held rival Hyatt Corp. agreed to create an online company that will sell hotel supplies.

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The new business, expected to be located in the Washington, D.C., area, expects to cut costs on products and services and make them easier to sell and buy. The companies estimate that hotels spend $50 billion annually on supplies and services.Rivals in a variety of industries are agreeing to set up online shops and marketplaces to bring together customers and drive prices down.

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