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Hot Issue: Shrink & Security

3/24/08
Theft Hits Retail in the Bottom Line

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The risk of retail theft has only grown with the introduction of higher priced items in categories such as smoking cessation, OTC analgesics and allergy, electronics, razors, cosmetics and perfumes. The percentage product loss between manufacture and point of sale, or shrinkage, is about two percent of sales and higher. While that may sound low, it means the loss of $31 billion due to theft. What can retailers and manufacturers do to address retail theft?

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