(137)

The shortage at the

retailer persists for
a long time

(136)
The retailer often takes a long
time before it places the next
order

(141)
The retailer often gives
discounts to get rid of (135) (134)
excess stocks Some slow moving The retailer waits for the
items take a long excess items to get sold
time to sell before it places the next
order

(129)
The retailer's
(125) inventory
(133) (124)
(114) The retailer carrying costs
The retailer's cash is The retailer
The retailer experiences needs to pay are high
blocked in the items has limited
wastage of some items cash for the items
which are in excess
at the time of
purchase

(111) (128)
(112) (110) The retailer The retailer's
The producer is The retailer has shortage inventory
(113) not willing to has excess of some level is very
Items have a take back the of some items high
limited excess items items
shelf-life that do not sell

(108)
Demand forecasts at (109)
the item level at the The retailer
retailer's end are determines order
highly erroneous quantities based on
its demand
forecasts
(106)
The retailer needs to
order items in large
quantity (to meet the
demand till the next
order)

(107)
The demand of different items
at the retailer level have an
extremely high variability (105)
The time interval between
two consecutive orders by the
retailer is large (and
uncertain)

(104)
The retailer does not order
frequently from the producer

(102)
(103)
The retailer has to bear
Ther retailer tries to
the costs of deliveries
control its
from the producer
transportation costs

(143)
The retailer's (101)
expenses are high The producer is not
[from Fig 2] willing to bear the costs
of transportation
 (145)
The retailer constantly demands price
reductions, higher credits and incentives to
liquidate excess stock from the producer

(144)
The retailer's
(133) profitbaility is low
The retailer's cash is blocked
in the items which are in
excess
[from Fig 1]
(142)
The retailer's
revenues are low (143)
The retailer's
expenses are high

(141)
The retailer often gives (137) (129)
discounts to get rid of The shortage at the The retailer's
excess stocks retailer persists for a (117) inventory carrying
[from Fig 1] long time costs are high
[from Fig 1] [from Fig 1]
(132)
(138) The availability
The retailer loses of the items
(131)
out on the revenue maintained by
The end consumer
from the items the retailer is (140)
does not get to see a
which are missing limited The producer's
large variety of the
from the shelf revenues are low
products at the
retailer

(130)
(127) The retailer does
The retailer maintains not keep those
only those items items which have
which have low high perishability
perishability and or low/unstable
high/stable demand (119) (139)
demand
The retailer is The producer loses
conservative while out on revenues
stocking even the from those items
items which have which the retailers
low perishability don't keep
and high/stable
(123) demand
The retailer is not interested in
stocking items which are
highly perishable or have a
low/unstable demand

(126)
The retailer can
afford to order only
a limited variety of
products (120) (121) (122) (117) (118)
Some Some items There is a very The retailer loses There is a non-
items are have low/ high chance of significant zero probability of
highly unstable wastage of items amount of wastage of the
perishable demand which have high money on the items which have
perishability or items that are low perishability
low/unstable wasted and high/stable
(106) demand demand
The retailer needs to
order items in large
quantity (to meet the
demand till the next
order)
[from Fig 1] (116) (114)
(115)
The retailer's margins are quite The retailer The retailer
(125) less compared to the price at incurs the experiences wastage
(124) which it buys the items from cost of of some items
The retailer needs to
The retailer has the producer (wholesale price) disposing [from Fig 1]
pay for the items at the
limited cash wasted items
time of purchase