A distinctive feature of fresh products such as fruit and\nvegetables in the retail food sector is that the supplier, packaging and\npricing vary throughout the year. <\/p>\n\n\n\n
So how do buyers calculate what quantity of products they\nshould buy? How can they reach the optimum stock level without having to place\nexpensive, last minute orders that lower the profit margin?<\/p>\n\n\n\n
The Supply Chain is extremely dynamic when it comes to\nharvesting production. Decisions can be made based on supply, quality, price\nand crop yield in different countries. In addition, there may be fluctuations\nin consumer demand that differ from day to day.<\/p>\n\n\n\n
CALCULATING SALES IN\nUNIT OR WEIGHT<\/strong><\/p>\n\n\n\n While fruit and vegetable sellers know everything about\nquality, price and country of origin, consumer demand is always in question.\nOrder quantities are based on orders from the past without checking whether\npurchase orders are actually correct.<\/p>\n\n\n\n However, fruit and vegetable sales are greatly affected by\nweather conditions. For example, if the weather is much better than expected,\nthe sale of lettuce and other fresh products that are more frequently consumed\nduring the barbecue season will increase.<\/p>\n\n\n\n PRODUCTS REDUCING\nPROFITABILITY<\/strong><\/p>\n\n\n\n Accurate foresight is essential in order to reconcile with\nsuppliers and place daily orders. However, without accurate information, the\nrisk of over-ordering and therefore waste will also increase. On the other\nhand, empty shelves can also be a result of low orders.<\/p>\n\n\n\n Buyers often have to place additional orders with suppliers,\nas many food retailers need to keep certain products in stock at all times. <\/p>\n\n\n\n However, this results in an effort to fill the shelves\nagainst their competitors at the expense of losing their customers. This can\nreduce the profit margin by increasing the supply price.<\/p>\n\n\n\n By distinguishing between non-branded products (for example:\napple, etc.) and different varieties of the same product (for example: Fuji\napple) with the right prediction, sellers can get a general idea about the\nsales performance of the products.<\/p>\n\n\n\n OPTIMUM ORDER\nQUANTITY<\/strong><\/p>\n\n\n\n The package quantity of the products varies according to the\ndelivery time and stage. In harvest dependent production, the optimum order\nquantity can have more than one value. Instead, the order quantity must be\ndistinguished depending on the country of origin and supplier.<\/p>\n\n\n\n