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Method and system for analyzing inventory purchasing opportunities with respect to inventory health

  • US 7,607,577 B1
  • Filed: 12/12/2005
  • Issued: 10/27/2009
  • Est. Priority Date: 10/19/2005
  • Status: Expired due to Fees
First Claim
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1. A method, comprising:

  • receiving an offer to purchase units of an inventory item via a purchasing channel for a given purchase price per unit;

    determining a breakeven holding time of existing units of said inventory item, wherein a cost of holding a given existing unit until said breakeven holding time equals, within an equality threshold, a difference between a sale value for sale of said given inventory item through a sales channel and said given purchase price specified by said offer;

    determining a time rate of sales demand of units of said inventory item per unit of time;

    determining a healthy inventory level of said inventory item, wherein said healthy inventory level exceeds a target inventory level by a function of said time rate of sales demand and said breakeven holding time;

    in response to determining that a current inventory level of said inventory item exceeds said healthy inventory level, declining to purchase said units of said inventory item for said given purchase price;

    wherein each of said receiving an offer, said determining a breakeven holding time, said determining a time rate of sales demand, said determining a healthy inventory level, and said declining to purchase is performed by one or more computers.

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