Company: MYSZ
Filing Date: 2025-03-27
Form Type: 10-K
Source: 0001641172-25-000990
Chunk: 1176

Company: My Size, Inc.
Filing Date: 2025-03-27
Form: 10-K
Item: Item 1
Chunk 1176
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 insufficient fulfillment or customer service capacity, increased costs, and impairment charges,
any of which could materially harm our business. As Orgad continues to add fulfillment and customer service capability or add new businesses
with different requirements, its fulfillment and customer service operations become increasingly complex and operating them becomes more
challenging. There can be no assurance that Orgad will be able to operate our operations effectively.

In
addition, failure to optimize inventory in our fulfillment operations increases net shipping cost by requiring long-zone or partial shipments.
Orgad may be unable to adequately staff its fulfillment and customer service operations. Orgad’s failure to properly handle such
inventory or to accurately forecast product demand may result in it being unable to secure sufficient storage space or to optimize its
fulfillment operations or cause other unexpected costs and other harm to our business and reputation.

Orgad
relies on a limited number of shipping companies to deliver inventory to it and completed orders to our customers. The inability to negotiate
acceptable terms with these companies or performance problems or other difficulties experienced by these companies could negatively impact
our operating results and customer experience. In addition, Orgad’s ability to receive inbound inventory efficiently and ship completed
orders to customers also may be negatively affected by natural or man-made disasters, extreme weather, geopolitical events and security
issues, labor or trade disputes, and similar events.

The
variability in Orgad’s retail business places increased strain on its operations.

Demand
for Orgad’s product listings can fluctuate significantly for many reasons, including as a result of seasonality, promotions, product
launches, or unforeseeable events, such as in response to natural or man-made disasters, extreme weather, or geopolitical events. For
example, Orgad expects a disproportionate amount of our retail sales to occur during our fourth quarter. Failure to stock or restock
popular products in sufficient amounts such that Orgad fails to meet customer demand could significantly affect our revenue and our future
growth. If too many customers access the websites on which Orgad engages in online retailing within a short period of time due to increased
demand, Orgad may experience system interruptions that make the websites unavailable or prevent us from efficiently fulfilling orders,
which may reduce the volume of goods its offers or sell and the attractiveness of its products. In addition, Orgad may be unable to adequately
staff for fulfillment of orders and customer service during these peak periods and delivery and other fulfillment companies and customer
service co-sourcers may be unable to meet the seasonal demand.

Our