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In light of the uncertain macro environment, Intel?s customers are maintaining a lean inventory which in turn leads to lower demand for its microprocessors.
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Of course, inventory will probably turn up this spring and summer because of the regular seasonal pattern, but the underlying trend will be less inventory than is typical for each season, not more.
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Dealers don't have to spend hours haggling their way to a profit, and they can turn over inventory faster.
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That allows McDonald's distributors to turn their inventory over 100 times per year, four times more often than Ameriserve.
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So far Dell has scored with a direct sales formula that both cuts out dealer markups and enables Dell to turn its inventory four times faster than Compaq.
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Taking this a step further, you can determine the number of days it takes to completely turn over inventory by dividing the number of days in a period by the inventory turnover ratio.
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Liquidity Services also offers a similar product for corporate clients, allowing them to turn old assets and inventory into revenue.
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Edmunds.com tracks average days to turn, which is the average number of days vehicles were in dealer inventory before a customer drives them away.
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Taken together with new inventory and construction data, this means that the second-quarter growth figure may turn out to have been just 1.2%, rather than the first estimate of 2.4%.
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The inventory is holding down real estate prices in many areas of the country and in turn could hold down property values for the long term because the neighborhoods are changing from a community of owner-occupied homes to rentals.
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But these inventory grabs, when infused with targeting technology, according to digital ad companies such as Turn and AudienceScience, are more efficient uses of marketing budgets.
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