Trade Allowances

This course has a major project assignment due in Week 5. It will take more than a week’s effort to adequately complete it. Plan time to start the research and work on the assignment earlier than the week in which it is due.
Trade Allowances
Trade allowances are a common promotional practice. The most common are slotting allowances at supermarkets. Slotting allowances are fees that supermarkets charge brands to place their products on the supermarket’s shelves. Discuss and evaluate the practice of slotting at supermarkets.
• What are the criticisms of the practice of slotting at supermarkets?
• What are the advantages of the practice of slotting?
• Assess some efforts that some retailers, including P&G, have taken to rectify trade allowance problems. Have they been successful?
• Evaluate the pros and cons of pay-for-performance programs