A "stockout" occurs when
A) brokers run out of shares of stock to sell of a particular company.
B) a disruption due to a power outage, etc., causes a temporary production shutdown.
C) a company holds too many goods in inventories.
D) a firm loses sales because goods consumers want are not available.

Question

Quizplus · Accepted Answer

A stockout occurs when a firm loses sales because goods consumers want are not available. It is a situation where demand for a product or service exceeds the supply, and it can lead to a loss of revenue, market share, and customer loyalty. A stockout can occur due to various reasons, including forecasting errors, production delays, transportation issues, or unexpected spikes in demand.

A "Stockout" Occurs When