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    Assume that you are an inventory manager and you notice that

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    Assume that you are an inventory manager and you notice that a lot of merchandise is being returned. Discuss what might be the possible causes and any action that you might take.

    Although you have a hunch of what might be the cause, explain at least two steps you would take to verify your hunch.

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    Solution Preview

    The main causes that I would look at are defects in the merchandise and internal theft.

    Defects: If large amounts of merchandise are being returned, I would examine the merchandise to see what the brand make-up is, from the returned products. Manufacturers oftentimes screw up entire lots of clothes or other goods, which are the ones we see end up in the clearance aisle for dirt cheap. The pants are cut ...

    Solution Summary

    Assume that you are an inventory manager and you notice that a lot of merchandise is being returned. Discuss what might be the possible causes and any action that you might take.

    Although you have a hunch of what might be the cause, explain at least two steps you would take to verify your hunch.

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