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National 5: Business Management
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Question:
Name consequences of overstocking
Author: Marilyn Bob-Manuel 3ektAnswer:
Goods may deteriorate before they are used/sold, Goods could become obsolete (no longer needed by the market) Higher storage/insurance/security costs. Money is tied up in the inventory that has been purchased, More storage space is required to hold the inventory, Higher chance of theft from the warehouse/store
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