Question

Is there any industry where it would always make sense to keep excess inventory levels on hand? min 200 words

Answer 1

Yes the retail industry where there is always a need of more inventory because these business have high volume of sale and have low margins in the per unit item sold and retail marketing is process of selling consumer goods or sevices through multiple channels of distribution to earn a profit. The different types of retail shops such as shopping center,shopping malls and street shopping and in these areas the consumers are very huge in numbers and they require their household products to use in their daily life and the more inventory should be there in the shopping stores , malls and centers so that the needs of the consumer is fulfilled.

Many modern retailers make a different decisions which involves the type of store and inventory, the market service area and customer service and the stores market locations.

Once the retail plan is prepared, the retailers create the retail mix plan which includes promotion,place, price ,product, personnel and presentation (6Ps) and inventory is the most required items In the digital age, an increasing number of retailers are planning to reach larger markets by selling their more stocks or inventory to the larger number of people.