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Author:Gundlach, G. T.
Bloom, P. N.
Title:Slotting allowances and the retail sale of alcohol beverages
Journal:Journal of Public Policy and Marketing
1998 : FALL, VOL. 17:2, p. 173-184
Index terms:Alcoholic drinks industry
Retailing
Sales
Policy
USA
Language:eng
Abstract:Considerable debate and controversy surrounds the practice of slotting allowances, or fees, paid by manufacturers for obtaining the patronage of retailers. To date, regulators have yet to agree on public policy toward these practices. At least one federal antitrust agency suggests that slotting fees may be competitive, another has conducted investigations into these practices, and still another suggests banning them altogether. In the article, the authors examine the recent decision by the Bureau of Alcohol, Tobacco, and Firearms (BATF) to prohibit slotting allowances in the retail sale of alcohol beverages. Focusing on the regulatory environment, industry structure, marketing practices, and consumer consumption behavior in the alcohol beverage industry, the authors analyze the BATF's decision and attempt to reconcile disparate public policy treatment of these practices. Implications for understanding slotting allowances and recommendations for further public policy development and research then are explored.
SCIMA record nr: 180738
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