surplus inventory
Unsold remaining merchandise
Surplus inventory is stock that exceeds current demand or storage capacity.
Businesses accumulate surplus inventory through overproduction, canceled orders, or shifting consumer preferences.
It ties up capital and warehouse space, so companies often liquidate it through clearance sales, discount retailers, or wholesale channels: We sold the surplus inventory at forty cents on the dollar.
- storage costsFees for holding inventory
- overstockSurplus goods beyond demand
- dead stockMerchandise that cannot sell
- lead timesTime between ordering and receiving
- liquidation salesDiscounted merchandise from closing businesses
flash sale · sunk costs · markdowns · bargain bin · bulk discount · end of season · depreciation · fire sale · warehouse clearance · opportunity cost · stock rotation · distribution centers · production planning · order fulfillment · stockouts · profit margins · recycling programs · resource conservation
surplus inventoryshortage
Deficient supply of necessities
stockout · inventory shortage · shortfall · scarcity · out of stock
surplus, inventory, plus, surpluses, inventories, inventoried, inventorying