Maybe part of the cost is also buying back tins from the supplier channels? Channel stuffing works by recognising the revenue when you pass it to the supplier to inflate revenue in the short term, however the end customer has not purchased in the same quantitiy. Or did A2 simply pass it onto suppliers no money down until it was sold, yet recognised the revenue? So now that has to be reversed? What were the incentives to CBEC? Anyone know?
Pindoudou - New Daigou, page-38
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