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meaning of backorder

meaning of backorder refers to a situation where a product is temporarily out of stock but is expected to be available again in the future. When an item is backordered, customers can still place an order for the product, but the shipping or delivery will be delayed until the item becomes available. This typically happens when demand for a product exceeds supply, or if there are delays in the manufacturing or restocking process. Businesses often use backordering as a way to manage supply chain issues and ensure that customers do not lose out on purchasing a popular item. While backordering can lead to customer frustration due to delays, it also helps businesses maintain sales without canceling orders outright.