Inventory Turnover:

L'Oréal boasts a notably high inventory turnover rate compared to its peers in the industry.
This metric indicates the efficiency with which L'Oréal manages its inventory, reflecting its ability to swiftly convert inventory into sales.
Return on Investment Capital (ROIC):

L'Oréal also demonstrates a positive Return on Investment Capital, surpassing many competitors in the personal care sector.
A positive ROIC indicates that L'Oréal's investments are yielding returns higher than the cost of capital, signifying sound financial performance and value creation for shareholders.
Explanation:

These metrics collectively position L'Oréal as a frontrunner in the personal care industry, emphasizing its operational efficiency and financial strength relative to competitors in France.

Total Inventory Overview:

The total inventory for personal care products in France amounts to over 1200 million USD.
This substantial inventory value reflects the scale and complexity of supply chain operations within the industry.
Composition Breakdown:

Approximately 47% of the total inventory is attributed to finished goods and merchandise.
Finished goods represent products that are ready for sale, while merchandise includes items held for resale, such as packaging materials and promotional items.
Explanation:

The significant portion of inventory allocated to finished goods underscores the importance of meeting consumer demand and ensuring product availability in the market.
Effective inventory management strategies are essential to optimize stock levels, minimize carrying costs, and prevent stockouts, thereby enhancing operational efficiency and customer satisfaction.