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- guru．1．2．3Lv 71 decade agoFavorite Answer
if it is a large chain store, the remaining outdated stock items can be returned to suppliers or distributors (as per agreement signed, usually described as a fixed percentage of overall contract value).
therefore, the outlet/shop will offer a sales clearance promotion to clear off the inventory as much as it can and turn it into cash and make room for the coming season.
the uncleared inventory items will be sent back to the distribution centre or central warehouse if it is a chain store operation.
if it is a stand-alone private small shop, they may like to source the products as consignment items to minimize risk or cost beared. However, the contrary is the profit margin will be limited.
*** hope this helps to explain a bit
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