Buy wrong, and you're stuck with dead stock and negative cash flow.
Fashion is high-risk because inventory decisions are made 6 months before you know if they'll sell. You'll learn sell-through rate (what % of stock sells at full price?), GMROI (gross margin return on investment — is the space profitable?), and markdown strategy (how aggressively to discount slow sellers). You'll understand that unsold inventory is cash frozen in stock — it's not potential profit, it's current loss. You'll learn to forecast accurately, manage seasonal spikes, and optimize the inventory-to-sales ratio that keeps you cash-positive.
Article from AskBiz Academy
Article from AskBiz Academy
Article from AskBiz Academy
Article from AskBiz Academy
Article from AskBiz Academy
Article from AskBiz Academy
Article from AskBiz Academy
Article from AskBiz Academy
Follow this learning path to master fashion & apparel: inventory is cash flow.
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