Although buried by mass customization and a proliferation of new products of numerous sizes and variations, grocery chains continue to
Although buried by mass customization and a proliferation of new products of numerous sizes and variations, grocery chains continue to seek to maximize payoff from their layout. Their layout includes a marketable commodity—shelf space—and they charge for it. This charge is known as a slotting fee.* Recent estimates are that food manufacturers now spend some 13% of sales on trade promotions, which is paid to grocers to get them to promote and discount the manufacturer’s products. A portion of these fees is for slotting; but slotting fees drive up the manufacturer’s cost. They also put the small company with a new product at a disadvantage, because small companies with limited resources are squeezed out of the market place. Slotting fees may also mean that customers may no longer be able to find the special local brand. How ethical are slotting fees?
Slotting fees refer to payments by manufacturers for retail shelf space x although the term can mean …View the full answer
I am graduated in Electronics and Communication Engineering from Punjab Technical University in 2013. I have been teaching physics since 2015. I am passionate about teaching. I usually connect things with real life examples as we know physics is the study of nature and it has very wide area to explore new things, phenomena etc. My students enjoy my lectures because i always try to balance the ratio theory as well as practical knowledge. Being an engineering graduate i am quite good at applied science and mathematics.