Certified Logistics Associate (CLA) Practice Test 2026 – All-in-One Guide for Exam Success!

A stock keeping unit (SKU) is defined as a unique identifier for distinct products. This identifier typically includes various product characteristics such as size, color, style, brand, and other specific attributes that set each product apart from others. SKUs are critical in inventory management because they allow businesses to track stock levels, sales data, and reordering needs accurately. Each SKU helps businesses streamline their operations and ensure that they can efficiently manage their inventory by providing a precise way to identify and categorize each product.

The other options do not accurately represent what an SKU is. For instance, while sales volume is important for assessing product performance, it does not define the SKU itself. Likewise, employee performance tracking is unrelated to the concept of SKUs, which are focused solely on inventory identification. Finally, market segmentation strategies deal with dividing a market into distinct groups of buyers, which is a very different aspect of business strategy compared to the function of an SKU in inventory management.