The Impact of Out-of-Stock in the Staple Food (Retail) Industry – Literature Review We have all experienced the visit a retail store to purchase our daily groceries. A retail grocery store is present in different parts of the world, however in different shapes and sizes. According to Kotler (2003), “A retail store includes all functions involved in selling goods or services to its end consumers” (Kotler 2003). Say no to plagiarism. Get a tailor-made essay on "Why Violent Video Games Shouldn't Be Banned"? Get an Original Essay Retail store differs in size, service intensity, state of formation, and various items it sells. They are named differently depending on the different elements mentioned above. They can be classified as discount, supermarket, convenience store, hypermarket or department store. In the literature based on supply chains and logistics, when a customer cannot find an item of his choice, the retail store is considered out of stock. It is actually not difficult to say “exhausted,” but like many other researched issues, this problem has its implications that can only be clarified through research (Charlton & Ehrenberg, 1976). into two typologies: object and brand” (Fitzsimons, 2000). First, a stock keeping unit (SKU) of a particular brand may be out of stock, and second, all options of a particular brand in a single product may be out of stock. Out of Stock (OOS) has been defined differently by different researchers. Gruen and Corsten (2002) define OOS as “the percentage of SKUs that are OOS on the retail store shelf at a particular point in time.” This means that the customer perceives that the item they want will be available but it is not. Alternatively, from the consumer's perspective, OOS is “the number of times a customer searches for the SKU and does not find it” (Corsten & Gruen, 2003). In this case the calculation is based on the frequency of times in which the consumer fails to obtain the SKU, which is then divided by the total number of times the consumer actually manages to obtain the SKU added to the total number of times the consumer fails possessed. Part of the proposition of better customer service may be suggested by the proposition of a broader typology of goods (Verhoef and Sloot 2006). However, proposing greater kindness in goods and brands has two significant consequences. First, retailers face higher costs to provide a variety of connections, due to high inventory, procurement, management and warehousing costs. Second, it also increases the likelihood of an out-of-stock (OOS) occurrence, which can lead to customer displeasure and store disloyalty. As retailers strive to compete with discounters on service, OOS can severely jeopardize their comparable position in shoppers' minds. . According to Campo et al. (2000), the supply disruption position not only decreases revenue but also decreases customers. In 20% of cases the store exchange is due to out-of-stock situations. Currently, numerous studies have been conducted by Emmelhainz et al. (1991), Verbeke et al. (1998), Campo et al. (2000), Gruen et al. (2002), Corsten and Gruen (2003) and Sloot et al. (2005). They were responsible for shaping factors that encouraged buyer reactions, such as inventory category, degree of brand devotion, type of consumer, and urgency of item request. So all these investigations were quite.
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