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There are several strategies to manage inventory and return fees in a business. One strategy is to implement an efficient inventory management system that can track and monitor inventory levels in real time, reducing the risk of overstocking or understocking. Another strategy is to negotiate with suppliers for better return policies or discounts on bulk purchases. Businesses can also consider dropshipping, where the supplier handles the inventory and shipping, reducing the need for physical storage. Lastly, implementing a strict return policy can help minimize return costs. It's important to note that these strategies should be tailored to the specific needs and circumstances of the business.
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Next, adjust any income taxes, payroll taxes, or transaction fees such as marketplace or credit card fees due upon transaction. Below that, adjust any inventory and return fees, such as the cost to store any physical goods, any markdowns of resale items, return processing costs, and averaged rate of returns. And at the bottom, the inflation rate is defined as a dynamic input that can be manually entered for each year in your horizon period. This is incredibly important, as inflation is a critical factor that will impact every business for the foreseeable future.
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