Professional Documents
Culture Documents
Organizational
Demand
Analysis
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Organizational Demand Analysis
Composed of:
Sales forecasting
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Estimating market potential and forecasting sales are the two
most significant dimension of company’s demand analysis.
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Organizational Demand Perspectives
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Secondary Data – Internet
• Internet has all types marketing intelligence.
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Before Using Internet Information
Assess quality:
• Sample size?
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Internet Market Research Limitations
No standards for information
No review process
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Relationship Between Potential and Forecast
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Qualitative Approaches
to Sales Forecasting
Qualitative techniques
• Rely on informed judgment and rating schemes.
- Executive judgment method,
- Sales force composite method,
- Delphi method.
Effectiveness of qualitative approaches depends on close
relationships between customers and suppliers.
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Developed by Cool Pictures and MultiMedia Presentations Copyright © 2007 by South-Western, a division of Thomson Learning, Inc. All rights reserved.
Qualitative Approaches
to Sales Forecasting
Executive Judgment
• Enjoys high level of usage.
• Collective expertise, experience, and
opinions
• Primary limitation: does not systematically
analyze cause-and-effect relationships.
• No established formula for deriving
estimates. 11
Developed by Cool Pictures and MultiMedia Presentations Copyright © 2007 by South-Western, a division of Thomson Learning, Inc. All rights reserved.
Delphi Application
Usually applied to long-range forecasting.
Well suited to:
• Forecasting for new products
• Estimating for future events when
historical data are limited.
• Analyzing situations not appropriate for
quantitative analysis.
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Quantitative Forecasting Offers Two
Primary Methodoligies
1. 0 Time series techniques use historical data ordered in time
project trends and sales growth rates.
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Summary of Qualitative Forecasting Techniques
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