Answer to Question 1
The retailer must have some means of handling incoming merchandise. The point at which incoming merchandise is received can be a high-theft location. The merchandise will need to be moved from the receiving area, where it will be counted and marked, to a storage area, either on the selling floor or in a separate location. However, while doing this, there is a possibility of vendor collusion, employee theft, and customer theft. Under vendor collusion, typical losses involve the delivery of less merchandise than is charged for, removal of good merchandise disguised as old or stale merchandise, and the theft of other merchandise from the stockroom or off the selling floor while making delivery.
Considering that stores are usually larger in size, sales volume, and number of employees, the lack of close supervision probably contributes to this problem. Stealing merchandise from the stockroom and receiving area may be easier than taking it from the selling floor for several reasons. Much of the stockroom merchandise is not ticketed, so it is easier to get it through electronic antishoplifting devices. There is very little antitheft security. There is usually an exit in the immediate area of the stockroom through which the thief can carry out the stolen goods. These are some of the reasons why the point at which incoming merchandise received is such a high-theft point.
Answer to Question 2
B
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