Schwinn Cycling and Fitness,Inc. ,is offering a chain of sporting goods superstores a 20 percent discount on all Schwinn bicycles if the stores will run their own special promotion on the new Schwinn Paramount Titanium bikes.What is Schwinn offering?

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Schwinn Cycling and Fitness, Inc. is offering the sporting goods superstores a discount on all Schwinn bicycles if they agree to run a special promotion on the new Schwinn Paramount Titanium bikes. This is an example of a trade allowance, where the manufacturer offers a discount to a retailer in exchange for increased sales of a specific product.