Inventory loading definition

Inventory loading means the requirement or encouragement by a plan or operation that its participants purchase inventory in an amount that exceeds the amount that the participant can expect to resell for ultimate consumption or to consume in a reasonable time period, or both.
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Inventory loading means that the plan or operation requires
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Inventory loading means the requirement or encouragement by a plan or operation to have the independent salesperson of the plan or operation purchase inventory in an amount that exceeds the amount that the salesperson can expect to resell for ultimate consumption or to use or consume in a reasonable time period, or both.
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Examples of Inventory loading in a sentence

  • Inventory loading occurs when a company’s incentive program forces recruits to buy more products than they could ever sell, often at inflated prices.

  • Inventory loading has historically been accomplished by giving sellers financial incentives for sales without regard to ultimate sales to or use by actual consumers.

  • The term does not include the purchase of goods or services furnished at cost to be used in making sales and not for resale, or time and effort spent in pursuit of sales or recruiting activities.Source:(5) 37-33-6 "Inventory loading" defined.37-33-6.

  • Inventory loading means a practice in which a plan or operation requires or encourages its participants to purchase inventory in an amount exceeding that which the participant can reasonably expect to use, consume, or resell to ultimate users, and that is not subject to a bona fide repurchase agreement.


More Definitions of Inventory loading

Inventory loading means actions that require or encourage participants in a scheme or course of conduct to purchase inventory in an amount that exceeds that which a participant can reasonably be expected to resell for ultimate consumption or, if purchased for the participant’s own use or consumption, can reasonably be expected to use or consume within a reasonable time period.
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Inventory loading means that the plan or operation requires or encourages its independent salespersons to purchase inventory or services in an amount that unreasonably exceeds what the salesperson can expect to resell for ultimate consumption or consume in a reasonable time period;
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Inventory loading means a practice in which a plan
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Inventory loading means the requirement or encouragement
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Inventory loading means actions that require or encourage
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Inventory loading means that the plan or operation requires or encourages its independent salespersons to purchase inventory or services in an amount that unreasonably exceeds what the salesperson can expect to resell for ultimate consumption or consume in ninety (90) days from the date of the purchase;
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Inventory loading means that the operation requires or encourages its 86a Nº [ independent
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