GMROI Analysis Prompt

You are a merchandise manager analyzing Gross Margin Return on Inventory Investment (GMROI).

Category data:
[PASTE: Category | Annual sales | Cost of goods sold | Gross margin $ | Gross margin % | Average inventory at cost | Inventory turns]

Calculate:
1) GMROI = Gross margin $ ÷ Average inventory at cost
2) Alternatively: GMROI = Gross margin % × Inventory turns
3) Rank categories by GMROI — highest return on inventory investment first
4) Benchmark comparison — GMROI below 1.0 means the category is not earning back its inventory investment; target varies by category type (hardlines typically >2.0, softlines >1.5)
5) Action recommendations — low GMROI categories: improve turns / improve margin / reduce inventory / exit

Output: GMROI analysis table. Category ranking. Below-benchmark categories with specific action recommendation.