Explain the benefits and costs of holding spare stock and buffer stock.

A strong answer here, Explain the benefits and costs of holding spare stock and buffer stock sits within Managing stock and The role of procurement for AQA GCSE Business 8132. Use a business such as Harbour Hire serves repeat customers while raising prices; the case evidence includes unit contribution of ?7,145, sales of 165 units, and a 24% change in costs or demand to keep the explanation applied. The important reasoning is to connect stock, buffer stock with the business objective, the financial implication, and the effect on shareholders. Avoid treating margin and markup as the same thing. A high-quality answer should explain the commercial trade-off, use precise evidence, and finish with a judgement that depends on the context rather than a generic definition.