There are several common situations:
1.Products with slight defects are eliminated during the quality control process (eg. factory produce 10% more than order quantity requested from Brand in case QC).
2.Product orders are rejected due to issues such as Brand's funding problems etc.
3.A small amount of products is manufactured from surplus fabric remaining.
Where is overstock?
Where is OEM factory there is overstock, such as previously Hongkong, now mainland China, more and more in Vietnam, India, Thailand in trend.
