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Get Your Priorities Straight

To control inventory effectively, prioritize your inventory needs.

It might seem at first glance that the most expensive items in your inventory should receive the most attention. But in reality, less expensive items with higher turnover ratios have a greater effect on your business than more costly items. If you focus only on the high-dollar-value items, you run the risk of running out of the lower-priced products that contribute more to your bottom line.

Excerpted from Start Your Own Business: The Only Start-Up Guide You'll Ever Need