Define the retailer has a huge investment in inventory

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The basic elements of control are common to most businesses. However, the merchandiser must pay special attention to several unique considerations. Foremost is asset control. Obviously, the retailer has a huge investment in inventory, and that inventory is not easily "isolated." As a result, theft and spoilage are all too common. Retailers should go to great lengths to protect against these costly events.

Think, for a moment, about walking through an electronics retail store. Upon entering the front door, one may first notice "architecturally pleasing" barricades (like planter boxes or posts) to prevent crash entry. Next is a doorman (guard), who perhaps oversees separate entrances and exits, and is responsible for matching receipts to goods leaving the store. An alarm may sound if a hidden inventory sensor has not been deactivated at check out.

Select merchant Home Depot Inc. that operates where you live and describe what controls you think they use to protect its business.

Reference no: EM131753524

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