Inventory turnover ratio low is a measure of how quickly a company turns its inventory into sales. It tells us how many times the firm can sell, on average, its entire stock of goods over a certain period. Low Inventory Turnover Ratio may mean that a company has an inefficiently managed or out-of-date inventory, or that the current demand for their products is low. Low Inventory Turnover Ratio leads to an accumulation of unsold products, which ties up funds in resources that could otherwise be used for more profitable business ventures. A company with low turnover must reassess its pricing and marketing strategies to increase sales, or risk becoming bogged down with a large stock of non-moving items.