Skip to main content

Demand Forecasting - Management Assignment Help

By

Fore casting of demand is the art of predicting demand for a product or a service at some future date on the basis of certain present and past behavior patterns of some related events.

According to Condit and Still” Sales forecast is an estimate of sales during a specified future period which is tied to a proposed marketing plan and which assumes a particular set to uncontrollable and competitive forces.

Accurate demand forecasting is essential for a firm to enable it to produce the required quantities at the right time and to arrange well in advance for various inputs. Forecasting helps a firm to assess the probable demand for its products and plan its production accordingly.

Usefulness

Forecasting of demand plays a vital role in the process of planning and decision making whether at the national level or at the level of a firm. The importance of demand forecasting has increased all the more on account of mass production and production in response to demand. No useful business planning can be done without proper estimates of demand forecast. It would not be an exaggeration to say that all business planning starts with forecasting of demand because capital investment production scheduling etc has to be related with the expected demand. Although it is said no forecast is completely fool proof and correct but the very process of forecasting helps in evaluating various forces which affect demand and is in itself a reward because it enables the forecasting authority to know about various forces relevant to the study of demand behavior.

Scope of Forecasting

Forecasting can be at the international level depending upon the area of operation of given economics institution. It can also be confined to a given product or service supplied by a small firm in local area. The scope of work will depend upon the area of operation in the present and proposed in future. Much would depend upon the cost and time involved in relation to the benefit of the information acquired through the study of demand. The necessary trade off has to be struck between the cost of forecasting and the benefits flowing such forecasting.

Comments

Post a Comment

Popular posts from this blog

Awesome Ways To Kick-Start Your Creativity

By
     The brain power is exhausting so much on paper, projects and exams, that’s typical for our well of creativity to run dry and if it does then it’s essential to identify how we can restock it by motivation to reignite that creative spark. Tutorsglobe is releasing pressure of these hectic schedule providing extremely talented tutor's service.             Have you experienced writer’s block, suffered through a dry spell or had your creativity completely flat line? There is don’t matter what profession you’re in or where you are in life, there will be times when your capability to make something new hits the wall. every and any creative juices that were once flowing dry up and you find yourself struggling to create something… just anything.              Brain impairment can affect at any time and in any situation, but generally bring up its ugly head when t...
1 comment
Read more

Importance of Capital Budgeting decisions

By
Importance of Capital Budgeting decisions Capital budgeting decision is a vital part of financial management, as it involves huge capital investment. Many researches have been undertaken in this field to know the best method of Capital budgeting decision.  The result of some of the literature review and surveys shows the following results:             Research conducted by Uma.V Sridharan and Ulrich Schuele (2008) about the Capital Budgeting decisions of German Managers shows that small firms prefer payback period method as the best method and Internal Rate of return is regarded as the second best capital budgeting evaluation method.  While the large firms prefer NPV method as the best and the second best method is internal rate of return method.  Even in case of risk factors both high risk & low risk firm prefer NPV and IRR methods.             The study con...
Post a Comment
Read more

Get Help In java assignments

By Anonymous
Home assignments have been a main part of student’s life from years which at times become hard to manage. Most of the students who are unsuccessful to do their tricky and complex home assignments in time look for assignment help that are accessible online by the experienced assignment experts. Looking at the troubles of students, many online assignment experts come up with their assignments wherein java programming learners can get java programming assignment help in assignment solving task given by their teachers.  Java has appeared as a revolutionary language in the world of information technology nowadays. With attributes like platform independent, efficient memory space allocation, higher security, inbuilt classes and features, Java has been one of the favourite tools of the programmers and coders across the globe. Java has been offering quite a few aspects like being high security executions of the codes, platform independent, memory space cleanups, Java games, sup...
Post a Comment
Read more