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Abstract The slotting allowances exist widely in China which may hinder the development of retail trade and harm the relationship of retailers and suppliers; there are so many dissensions in its retailing market. With the detailed analyses about the effects of different slotting allowances in the retail circulation, this paper uses a graphics mathematical model to demonstrate the slotting allowances of new products are acceptable, and analyzes the tripartite welfare, rival retailers, suppliers and consumers. At last, we reviewed actual Chinese government’s policy on the behaviors of gaining slotting allowance and give some suggestions for improvement..
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Received: 13 September 2007
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2008, Vol. 1 
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