ABSTRACT

When analyzing the causes of shrinkage of inventory in the retail world there are four main causes to consider: (1) internal theft; (2) external theft; (3) operational errors; and (4) vendor theft. This chapter will discuss the cause of shoplifting, a type of external theft. External theft includes shoplifting, burglaries, robberies, and any other acts employed to deprive the owner of merchandise or product that would otherwise appear on the shelf for sale. For example, vandalism and the destruction of property in the course of a burglary deprive the owner of that product.