What is the function of source and anti-theft tags?

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Prepare for the Performance Indicators Retail Merch Tier 3 Test. Master key concepts with multiple-choice questions and detailed explanations. Boost your confidence and excel in the exam!

Source and anti-theft tags primarily serve the function of alerting to stolen items passing through security gates. When these tags are attached to merchandise, they activate alarms when someone attempts to exit the store without properly deactivating or removing the tag at the checkout. This feature significantly helps to deter theft and protect retail inventory by creating a system that informs staff of potential shoplifting incidents.

The focus on this aspect highlights the overall importance of loss prevention measures in retail environments. While enhancing product visibility, tracking inventory levels, and reducing manufacturing costs are certainly valuable functions within a retail context, they are not the primary purpose of source and anti-theft tags. Such tags are fundamentally designed to minimize shrinkage and bolster security, which is critical for maintaining profitability in retail operations.

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