(KNSI) — Supply chain issues that affected gifts from getting under the Christmas tree last year will be an issue again this season. But experts say it’s not all bad news.
Supply chains are unstable because of delays at seaports worldwide, and University of Minnesota Carlson College School of Business Assistant Professor Necati Ertekin says it creates an inventory problem for businesses. “Those orders have arrived late. This puts many retailers in a situation where they now have excessive inventory right before the holiday season.”
But, he says stores are holding onto old merchandise and need to make room for new holiday shipments, which can be a good thing for shoppers. “This puts a lot of pressure on retailers so they need to get rid of this inventory. Oftentimes, this means offering deep discounts in certain items.”
Ertekin says supply chain issues will remain a problem for various reasons throughout the holidays. He’s optimistic that shipping will return to normal in the spring of 2023.
___
Copyright 2022 Leighton Enterprises, Inc. All rights reserved. This material may not be broadcast, published, redistributed, or rewritten, in any way without consent.
FOLLOW US FOR INSTANT UPDATES!
FOLLOW US FOR INSTANT UPDATES!