Overstock, excessive stock, or excess inventory arise when there is more than the "right quantity" of goods available for sale, or when "the potential sales value of excess stock, less the expected storage costs, does not match the salvage value". It arises as a result of poor management of stock demand or of material flow in process management.
Excess stock, overstock, or surplus inventory happens when there is more than the appropriate quantity of goods available for sale. It can also occur due to poor management of demand or material flow in process management, leading to a situation where the value of excess stock does not justify its storage costs.