Publication Date

1-1-1981

Abstract

Expanding the scope of factors considered in evaluating return on investment can assist front line managers in making realistic decisions about inventory. Several factors that directly account for profitability and are within the purview of front line managers are discussed and means of optimizing their relationships are discussed.

Document Type

Article

Keywords

return on investment, gross margin, GMROI, CMROI, inventory, merchandising, retail, strategy, space

Disciplines

Business

Extent

23 pages

Format

.pdf

Rights

The files in this collection are protected by copyright law. No commercial reproduction or distribution of these files is permitted without the written permission of Southern Methodist University, Cox Business School. These files may be freely used for educational purposes, provided they are not altered in any way, and Southern Methodist University is cited. For more information, contact ncds@smu.edu.

Language

English

Acknowledgements

The authors would like to acknowledge Roger A. Kerin and Dwight Grant of Southern Methodist University and Robert Lusch of the University of Oklahoma for their suggestions on an earlier draft of this paper. The authors also thank Roy Clark of Sanger Harris, Dallas; Kent Nichols of Jeske's, Houston; Brian Schroeder of Macy's, Kansas City; and Jay Scher of the National Retail Merchants Association for their data collection assistance.

Included in

Business Commons

COinS