RETAIL RESTRICTIVENESS ANALYSIS IN EASTERN EUROPE RETAIL RESTRICTIVENESS ANALYSIS IN EASTERN EUROPE | Page 30

3. Sales promotions
Values range from 0 to 6 and are assigned according to the scheme below. The final score consists of the
scores for each type of sales promotions: end-of-season sales (20%), end-of-business sales (20%), other
regulations on sales promotions (20%), sales below cost (20%) and promotional games (20%).
CHARACTERISTIC
End-of-seasons
sales SCORE
Accumulation of points the restrictions observed (they might occur simultaneously):
3 points for notification obligation; 1.5 points for restrictions on discounts prior to
or outside end-of-season sales (e.g., on quantity or duration); 1 point for restrictions
on announcing price reductions prior to end-of-season sales; 0.5 point for
prohibition to discount if products purchased during certain period before end-of-
season sales; 0 points for no specific rules on end-of-season sales.
End-of-business
sales One of the following situations occurs:
Other
regulations on
sales promotions
• 6 points for authorisation requirement;
• 4 points for notification requirement;
• 2 points for self-assessment;
• 0 points for no specific rules on end-of-business sales
• Accumulation of points for any of the restrictions observed (they might co-
occur):
• 0.5 point for any restriction
Sales below costs One of the following situations occurs:
Promo games
• 6 points if banned completely;
• 4 points if exceptions with authorisation requirement;
• 2 points if exceptions;
• 0 points if allowed
One of the following situations occurs:
• 6 points if a license is required;
• 4 points if authorisation/permission is needed and further requirements are
imposed;
• 3 points if notification is needed;
• 2 points if there is no need in announcement, but rules and conditions of
such campaign should be clearly defined and cannot be changed during the
campaign;
• 1 point if there are no specific rules, but some products cannot participate
in promo games
• 0 points if there are no particular rules
4. Retail-specific taxes and fees
The assessment looks into the retail-specific taxes and fees, taking into account their coverage and the
basis for calculation.
CHARACTERISTIC
Two different types of taxes or a double basis for calculation SCORE
6 points
One type of tax/fee or limited coverage (big stores or food retail) 3 points
No tax/fee 0 points
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