Let's just call this an "entry exam" for stock.
1 -Can my customers get this item at other stores in my market area? If yes, too competitive.
2 -Is this a good margin item?
Slow turners with weak margins are double trouble.
3- Does having this item in stock help me sell other higher-margin merchandise?
If not, you may not need it.
4- Can I get faster delivery on this item than I am now getting?
If yes, you may be able to cut back on your stock.
5- Do I order larger quantities of this item than I actually need in order to take advantage of price breaks?
If yes, you may be coming out on the short end when you figure in all your carrying costs.
6- Do I have an emotional attachment to this item that reflects my personal taste rather than a business-like response to my customer’s desires?
If yes, get rid of it!
New items? Yes, absolutely!