Surplus causes disequilibrium in the supply and demand of a product. This imbalance means that the product cannot flow through the market efficiently. However, the cycle of surplus and shortage has a way of balancing itself out.
Environmental scanning is the term used to describe the acquisition and use of information gleaned from sources external to your company. Scanning can be thought of as a form of early-warning radar that lets managers look into the future.
Both scanning on a scheduled basis and continuous scanning are proactive. These types of environmental scanning are not necessarily done to address a specific need or crisis, but rather are done to keep up with what is on the horizon for your business environment at large. Although continuous scanning has the ability to keep you current and provide a steady stream of new ideas, it requires a constant dedication of often limited resources.