EOQ for Seasonal Businesses
Seasonal businesses often face fluctuating demand spikes that complicate inventory planning. EOQ provides a structured framework to handle these cycles effectively. By calculating the most cost-efficient order size during peak seasons, businesses can prevent stockouts when demand is high. During off-seasons, EOQ helps avoid unnecessary inventory buildup, which could lead to wasted storage costs. For industries such as fashion, holiday goods, or agriculture, using EOQ alongside demand forecasting ensures smoother operations year-round. This adaptability allows seasonal businesses to strike the perfect balance between availability and cost control while maintaining profitability during both high and low demand cycles.