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Department stores often use this method, called open-tobuy budgeting. An open-to-buy allowance simply refers to the amount of money available for receiving orders of new merchandise for a particular merchandise category during a monthly or quarterly time period. This figure is determined by looking at the starting inventory and the seasonal sales history for that category. Cookware, for example, usually sells well in January. By determining the anticipated sales of cookware in January and knowing the amount likely to be left at the end of December, we can set a budget for how much cookware we want to have arrive in January. This system prevents a slow category from taking up too many inventory dollars and also ensures adequate stock on hand for busy sales months. This system prevents a slow category from taking up too many inventory dollars and also ensures aHospital gift shops are an important revenue source for medical centers. In order to maximize the income from these shops, Dawn Landry and Betty Puckett collaborated to form the buying group Purchasing Power Plus (888-221-3367, www.purchasingpowerplus.com). Their organization negotiates special deals for its members with more thanbel products. Merchandise Buying Figure 4.1 A Southern Season, an innovative gourmet shop, catalog, and restaurant in Chapel Hill, North Carolina, customizes its gift baskets with private label foods under the name Carolina Cupboard. (Used by permission of A Southern Season.) Customizing Merchandise for the Tourist Market Someone once said that the best souvenir is an item that is a good buy and not readily available back home. As all products become more widely distributed, it gets harder to find something to offer tourists that is not available elsewhere. Locally produced items or regional specialties are often too expensive to be considered a good buy by most tourists. Locally produced items or regional specialties are often too expensive to be considered a good buy by most tourists. .