I have just got a new puppy (gsd x malamute) and already had a shar pei. They have just started really playing together, which involves throat locks and pouncing. Although they both know when to back off when biting too hard (the puppy always goes back for more though) I was wondering whether I should be allowing this behaviour. I realise they're establishing their dominance, but will this teach the puppy bad habits when she's out meeting other dogs? At the moment I allow this playing to continue unless they start growling and barking.

Thanks

they are not establishing "dominance" they are learning to acquire bite inhibition which can ONLY be learned by this sort of play with other dogs.