Liquidity Services operates in the reversesupplychain industry, helping organizations liquidate surplus and salvage assets through online auction marketplaces.
In supply chains such a process is done by closing the loop by pairing the process of forward (forward supplychain) with reverse logistic (reverse supplychain).
We think that this concern is overblown because of the large size and fragmentation of the commercial reversesupplychain segment, high barriers to entry for successful penetration into the market, and the incompatibility of an online surplus liquidation business with the aforementioned potential competitors.