What does factory store mean

A factory store is a store that does not go through any middlemen or retailers and sells products such as out-of-season products, backlogged inventory, inferior products, or specially designed low-cost products.

Because of the elimination of middlemen, factory stores are usually cheaper than traditional retail stores, making them a place where consumers can buy goods at a better price. At the same time, for manufacturers, factory stores are an effective way to clear inventory and improve capital turnover.