[QUOTE=Exapno Mapcase]
Here’s a secret. A lot of that stuff you ordered? It didn’t exist.
They’d wait until the orders came in. With the money. Then they’d make up a batch and send them out.
If the orders didn’t come in, it would be “out of stock” and you’d get your money back. Sometimes.
But it didn’t make sense for them to make up a product and incur huge warehousing fees to hold on to it for weeks or months, or worse not sell it at all.
Now obviously not everything worked this way. Much of it was in somebody’s warehouse, and got sent out after the check cleared. But if you were told to allow six to eight weeks, you didn’t get hot and bothered and call the Better Business Bureau or the State Attorney General if nothing showed up in your mailbox in a month.
IOW, everything about the ad was put in to protect the seller in one way or another. As magicians know, the part that seems to make it tough is what allows the trick to work.
[/QUOTE]
What? I’d like to see a cite for this. The Wiki article on just-in-time manufacturing says that the goal is to have enough merchandise to meet current sales demand without having a bunch of stuff sitting in a warehouse. In other words, if Ronco knows it can sell 100 Pocket Fishermen in a week based on historical trends, it’ll keep 100 Pocket Fishermen on hand to fill current orders. Next week, they’ll have made another 100 to fill that week’s demand. Special orders may have to be built on demand, and some technologies such as CD or DVD duplication permit immediate on-demand manufacture, but for the most part, the goal is to have enough on hand to be able to fill current order needs.
The Federal Trade Commission requires all companies who offer goods for sale through some means of telecommunication or by mail to complete the sale within 30 days, or offer the customer a new ship date, to which the customer can either consent to the delay or cancel the order. Otherwise, you can make a statement as to when you can reasonably expect to ship the product, which is where the “wait six to eight weeks for delivery” comes in. This is under their Mail or Telephone Order Merchandise Rule. This rule is still in effect.
The reason for the lag time is to permit checks to clear or credit applications to be approved. Of course, payment clearance is now done by computer, and lots of people now have Visa- or Mastercard-branded debit cards, so you can get your Pocket Fisherman faster. True, manufacturers may use the lag to build the product, but that doesn’t appear to be the norm.
Robin