Why we always overbuy at ZARA
Himanshu mishra
See, if there is less stock in a store then there will be no
need to bear the cost of inventory. Plus because the stock itself is so limited.
So the customers always have this scarecity in their mind that
this is very limited, it can end anytime, so I should buy it as
soon as possible. What happens is that the speed of rotation
of inventory increases a lot, it gets sold very quickly and suppose if
a product is not sold for a week then it is not kept in the store after that and it is removed.
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