Overstock: All the Information You Need to Know
Definition of an Excess Inventory
Sometimes, products don't sell as swiftly as companies had hoped. Some products are left unseen on the shelves for an excessive amount of time due of consumer disinterest. As a result, these inevitably reach the end of their useful life without being sold. And excess inventory is just that. The term "excess inventory" describes goods that businesses hold onto for an extended period of time but fail to promptly sell. Over time, this stuff turns into outdated inventory that is worthless.
Read More: Excess Stock
Overstock begins to degrade and lose value when businesses hold onto it for extended periods of time. As a result, these goods and materials lose their previous utility, and businesses must dispose of them. Thus, businesses write off this "...