The prior damage caused by excessive stock is an early exhaust of cash flow, later the loss of free disposible capital for investing.
With food supplies, excessive stock can cause the loss of millions of currency units as the product freshness may deteriorate to such an extent that it can not be sold, as is the case with fresh fruit and vegetables or even more sensitive resources like fresh fish.
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Famous quotes containing the word economical:
“In short I must confide in you to take such care of the men under you as an economical householder would of his own family, doing every thing within himself as far as he can, and calling for as few supplies as possible. The less you depend for supplies from this quarter, the less you will be disappointed.”
—Thomas Jefferson (17431826)