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  • Essay / What is Starbucks Ratio Analysis - 1055

    The most visible increase was observed between the years 2008 and 2009, from 30 days to 57 days. Starbucks held the most inventory with an average of 69 days in 2012. From 2010 to 2012, days in inventory increased each year, implying that inventory remained on shelves longer. Additionally, Starbucks' increasing days of inventory between 2005 and 2014 may be a sign of short-term problems related to overestimating sales, overproduction, or slow inventory turnover. In 2014, Starbucks restocked in approximately 59 days on average. This ratio shows that Starbucks managed its inventory more effectively in 2014 than in 2013, when Starbucks held inventory for an average duration of 67