Why is it necessary to review SKUs not currently carried when analyzing a Pareto curve?

When analyzing a Pareto curve, reviewing SKUs not currently carried is vital for identifying potential additions that could enhance sales. The Pareto principle suggests that a small number of items often account for a large portion of overall sales. By examining SKUs that are not being offered, businesses can spot opportunities to introduce new products that might capture unmet customer demand, fill gaps in the market, or complement existing offerings.

This assessment can reveal trends in consumer preferences or identify high-performing products that competitors might have successfully launched, which can inform strategic decisions about inventory expansion. The insights gained from exploring these SKU opportunities can contribute to better alignment with market demand and ultimately drive sales growth.

Other options, while important in different contexts, do not directly address the specific purpose of analyzing SKUs outside of current inventory in relation to the Pareto curve. For instance, removing outdated products is more about optimizing existing inventory rather than exploring new opportunities, and customer complaints or competitive analyses, while valuable, do not specifically align with leveraging the data from a Pareto analysis to enhance product offerings.