ECONOMICS

Detailed explanation-1: -Anticipation inventory or speculation inventory refers to extra finished products or raw materials a business purchases to meet an anticipated jump in demand.

Detailed explanation-2: -Anticipation Inventory or Seasonal Inventory is built in anticipation of future demand, planned promotional programs, seasonal fluctuations, plant shutdowns, and vacations. Companies build anticipation inventory to maintain level production throughout the year.

Detailed explanation-3: -Simply put, anticipation inventory is the stock that a company keeps in order to accommodate increased demand in the future. An obvious example is a drink retailer stocking more cold drinks in hot summer months. This strategy can ultimately help businesses to weather expected spikes in demand.

Detailed explanation-4: -Seasonal inventory refers to products that sell at a higher velocity during particular times of year. Most merchants experience an influx in seasonal demand during the holiday season and may stock holiday-specific SKUs that they don’t sell year-round.