When stability become instable in markets, they become chaotic, with unpredictable short-term outcomes. It’s not a stretch to say that things have become chaotic and it’s good for you to remember Chaos Theory.

Analyzing your current space and assortments and then implementing a growth strategy takes patience, since you shouldn’t just add tons of new inventory willy-nilly. Having great brand-partners should help you build these assortments.

The motivation for this conversation was prompted by an article about Trieber & Staub, a venerable free-standing jeweler in the suburbs of Milwaukee, WI, who closed after nearly 45 years in business after losing two brands.

David Geller is a 14th generation jeweler who spent 25 years in his own retail store in Atlanta before selling it to an employee in 2000. He then spent the past 25 years building the Geller Blue Book and consulting to thousands of jewelers.

This year, especially if you have a too much aged inventory and/or you’re hoping for better cash flow, I’d like to encourage you to have a year-end inventory goal.

The mix of natural vs. LG, markups and gross profit per item sold may need to be adjusted to achieve net profit goals.