Sunk cost & Opportunity cost

Sunk Cost refers to money already spent that cannot be recovered. In retail, this often shows up as unsold inventory you’ve already paid for.

Opportunity Cost is what you give up by choosing one option over another. In a store setting, this could be the lost potential of using shelf space, staff time, or cash flow on something that isn’t performing—when something else might work better.

In short:

Sunk cost = past loss you can’t undo.

Opportunity cost = future value you might be missing.

Letting go of what’s not working is how you make space for what could succeed.

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