Digest

The German government is to liberate retailers from stringent discount regulations by repealing the Rabatt gesetz law, which allows retailers to offer discounts of no more than three per cent, and then only during limited summer and winter periods. The Rabattgesetz has severely hampered the ability of foreign retailers to operate in Germany and has restricted German online retailers from competing abroad. Analysts expect the change will mainly benefit large retailers but should also enable branded goods companies to run types of sales promotions which have so far been illegal in Germany.

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