This paper is based on an exploratory research project into perishable inventory challenges in the retail industry. This paper investigates how inventory control of perishable items is managed and identifies the perishable inventory challenges. The paper includes a review of relevant literature and identification of models dealing with perishable inventory control. The paper is based on a case study in the retail industry in Denmark about how the current procedures are operating in the retail supply chain. Based on the case study and literature review it is found that product quality deterioration and the aftercare of the items in the retail stores are two important parameters in perishable inventories. Furthermore, the length of periods as well as the total cost and profit margin function of the inventory control models are does not often fit reality. Therefore there is a need for further research into models dealing with these parameters.