Warehousing

Commerce SSS2 Third Term

WEEK 9

Warehousing

Performance Objectives

The student should be able to:

     1. Explain the term warehousing.

     2. Explain the Importance.

Content

Meaning

A warehouse is a building (storehouse) where wares or goods may be stored. Warehousing, therefore, is the storage of goods until they are needed.

Importance of warehousing

Warehousing in commerce is a productive function. It is important in:

1. Creating time and place utility for the goods or products concerned.

2. Allowing reserve to be maintained to meet unexpected fluctuation in consumers' needs.

3. Maintaining a steady rate of production and so enjoy the economy of scale.

4. Providing protection and security for goods or products.

Functions of warehousing

1. It ensures…