Open To Buy Definition Here

Ensures key products are available when customers want them.

is a financial budget and retail planning process that calculates the amount of merchandise a retailer can purchase within a specific timeframe. It acts as a guardrail to ensure businesses remain within their financial goals while maintaining enough stock to meet customer demand. Key Components of OTB open to buy definition

What is Open-to-Buy (OTB)? Definition, Meaning & Examples - Board Ensures key products are available when customers want them

Prevents over-committing capital by buying too much stock. open to buy definition

The target stock level for the end of the period. Why Retailers Use It