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The Practice of Charging a Slotting Allowance Is Controversial Because

Question 8

Multiple Choice

The practice of charging a slotting allowance is controversial because:


A) large-scale sellers complain that the allowances shut out all but the smallest suppliers.
B) the allowance prevents new products from acquiring shelf space.
C) it leads to retailers stocking up on a product when it is on discount.
D) manufacturers are not entitled to charge retailers a fee to display new products.
E) some manufacturers feel they're being forced to subsidize the retailer's cost of doing business.

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