TeachMeFinance.com - explain Slotting fees
Slotting fees The term 'Slotting fees ' as it applies to the area of agriculture can be defined as ' Paid by manufacturers to purchase shelf space in retail stores; such fees are a controversial issue in the food sector. Critics regard slotting fees as unearned store discounts (or even 'kickbacks' to stores) that give a competitive edge to larger manufacturers who can afford them, while depriving consumers of variety, new product innovations, and possibly more competitive retail pricing. Supporters of the fees contend that they enable stores to make room for the thousands of new product introductions annually; otherwise, grocers would have to shoulder the risk of stocking items that might not sell'.
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