Buffer stock Meaning and Definition

Pronunciation

/ˈbʌfər stɒk/ 🔊

Part of Speech

Noun

Definition

A strategic storage of goods, materials, or resources to maintain a steady supply chain and absorb unexpected changes in demand, ensuring uninterrupted production or service.

Examples

• The company maintains a buffer stock of raw materials to ensure continuous production.
• The government keeps a buffer stock of food grains to mitigate the impact of natural disasters.

Synonyms

• Inventory
• Reserve

Etymology

The term “buffer” originates from the concept of buffering, where a buffer zone or buffer layer is used to absorb or regulate the flow of something.

Usage Notes

Buffer stock is often used in business and economics to describe a strategic tactic for managing supply chains and ensuring continuity of production or service.

Cultural References

Buffer stock has been mentioned in various business and economic texts, including academic papers and industry reports.

Idiomatic Expressions or Phrases

• “Buffer stock is the key to success in high-stakes business.”
• “A well-stocked buffer ensures uninterrupted production.”

Related Words or Phrases

• Inventory management
• Supply chain management
• Strategic reserve

Collocations

• Buffer stock management
• Inventory buffer
• Strategic buffer

Frequency of Use

Buffer stock is a term commonly used in business and economics, with an average frequency of use in industry reports, academic papers, and trade publications.

Common Misspellings

• Bufur stock
• Bufur stock