This document discusses trade promotions and their costs. It notes that trade promotions have shifted power from manufacturers to traders. Trade promotions can lead manufacturers to engage in forward buying from distributors to secure shelf space or trial for new products, but this comes with costs like increased inventory holding costs. The document also discusses problems like deterioration of in-store service quality from a focus on promotions. It proposes that an everyday low purchase price (EDLPP) model could help address issues by reducing fluctuations in demand and involving lower fixed costs compared to trade promotions. However, EDLPP may not solve all problems. The document concludes by recommending trade promotions only be used as a last resort and to focus them on distributor needs if used.