Inventory that is unsold or unused for a long time and is not likely to be sold again is referred to as dead stock. It raises carrying costs, ties up capital and valuable warehouse space, and may eventually become outdated or expire. Overordering, poor forecasting, or shifting consumer preferences are some of the reasons behind dead stock. Dead stock management entails spotting it early, putting clearance or discounting plans into place, and enhancing demand planning to stop it from happening again.
