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Ontario's KPI's closely mimic Canada's KPI's and appear to be more linear and stable than Alberta and Saskatchewan Ontario's economy is strongly rooted in political
- Ontario's KPI's closely mimic Canada's KPI's and appear to be more linear and stable than Alberta and Saskatchewan
- Ontario's economy is strongly rooted in political bureaucracy which allows for a lower economic risk and fluctuations
- Alberta's KPI's display more erratic behavior which is aligned with the fluctuations in the oil industry.
- 2016 was a recession for the prairie provinces, with Alberta being the hardest hit. We see this reflected in the inventory on hand dramatically increasing for Alberta and the inventory turnover rate plummeting. Saskatchewan has an alternative larger industry in farming to supplement the fluctuations although it was not spared from the peripheral aftermath happening in Alberta.
- As the oil industry started to recover the inventory turn-earn rate increased for Alberta and Saskatchewan because consumer confidence and spending started to return. The pent up inventory that was being held was being sold and the inventory on hand decreased.
- When the Global pandemic happened in early 2020 not even Ontario's political buffer could protect the economy. It is at that point that we see the KPI's for all 4 markets align. The dramatic increase in the inventory turn-earn rate was a result of panic buying by the consumer and then led to the inventory on hand doing an equally dramatic plummet.
Based on the above information answer the following question. Please include references.
What are your thoughts as to why and how these results are in play? A bit of research here and relate your findings to the external factors influencing the inventory performance for selected provinces and Canada as a whole.
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