how is it possible that it’s cheaper for a company to destroy/throw away inventory?

1.06K viewsEconomicsOther

My wife has been addicted to watching dumpster diving videos where people end up finding brand new expensive things thrown away by retailers. It made me remember reading somewhere that the reason they do this is because it’s cheaper for them to throw away or destroy their inventory than it is to give it away or sell at discount. HOW???

I don’t see how they could possibly save money by destroying inventory rather than putting it on extreme discount. Surely they could make more money selling at an extreme discount versus no money at all by destroying .

In: Economics

36 Answers

Anonymous 0 Comments

Not a common occurrence but for some industrial equipment, if they were custom designed for a certain client and there end up being some dead stocks, these cannot be resold to another entity due to contract and legal issues.

Other times, if these equipment require some sort of certifications, getting them recertified for a client with different environment or for different country may end up being more expensive and time consuming.

You are viewing 1 out of 36 answers, click here to view all answers.