The first quarter of 2010 proved to be very telling for manufacturers, distributors, retailers, and service providers in the consumer sector. For most of 2009, substantially all major retailers were working diligently to reduce inventory levels and improve management of operating cash flow, which ultimately resulted in their under-purchasing of goods during the 2009 holiday season. As the year drew to a close, these tactics had four significant impacts on the consumer products sector: 1) inventory levels at the retail level were extremely low, temporarily increasing “out of stocks” and reducing overall consumer satisfaction; 2) fewer orders were placed with manufacturers, forcing them to right-size their businesses and make alterations in scheduling and supply chain management in order to meet actual levels of demand; 3) signaled a change in the way business would be done in 2010 and for the foreseeable future; and 4) consumer goods orders beat expectations during the first quarter of 2010 as retailers moved to compensate for their overly pessimistic outlooks witnessed throughout 2009. As 2010 began, many vendors were still trying to decipher the best strategies to remain viable in this new operating environment while also allowing for responsiveness to customer orders. With a little over a quarter “under their belt” , many consumer products companies have adjusted and are seeing significant momentum fueled by an improved economic outlook and fundamental improvements in their businesses.