The term shrinkage is an industry term for:
A) the fragmentation of consumer needs caused by the Internet.
B) reductions in waste resulting from product usage.
C) a North American consumer trend associated with paying less for products.
D) inventory and cash losses due to shoplifting and employee theft.

Question

Quizplus · Accepted Answer

Shrinkage in the retail industry refers to the loss of inventory and cash primarily due to shoplifting, employee theft, fraud, and administrative errors. It is a significant concern for retailers as it directly impacts their profitability.

The Term Shrinkage Is an Industry Term For