Procuring apparel in bulk quantities from manufacturers or distributors at reduced prices is a common business practice. This approach allows retailers and other businesses to acquire inventory at a lower cost per item, increasing potential profit margins. For instance, a boutique owner might source dresses directly from a manufacturer, paying significantly less per dress than if purchasing individual items from a retail supplier.
The advantage of this purchasing strategy lies primarily in cost savings. Businesses can significantly lower their expenses, leading to increased profitability and the ability to offer more competitive pricing to consumers. Historically, this model has been essential for businesses seeking to scale their operations and maintain a competitive edge in the market, enabling them to access a broader range of goods and respond effectively to market demands.
