Inventory is the level of physical stock held. It will typically be measured at different points in a pipeline.

A retailer may have inventory on order from suppliers, at warehouses, in transit to stores, in the stores’ backrooms, and on store shelves.[1]

Related Terms

Inventory days
Inventory turns
Inventory velocity


  1. ^ Farris, Paul W.; Neil T. Bendle; Phillip E. Pfeifer; and David J. Reibstein (2010). Marketing Metrics: The Definitive Guide to Measuring Marketing Performance (Second Edition). Upper Saddle River, New Jersey: Pearson Education, Inc.

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