What is forecasting analysis?

Answer 1

I'll give you the gist of Demand Analysis Forecasting:

Demand analysis forecasting is the process estimation of quantity of a product or service that will be demanded by the customer in the future. Demand forecasting is carried out using both, informal methods, like educated guesses or quantitative methods that involve the use of historical data or existing data from the test markets. Demand forecasting helps in the formulation of pricing strategies, estimation of future product capacity and making crucial decisions relating to the entry or exit from new markets.

Methods of Demand forecasting:

Qualitative Methods:

1. Jury of expert opinion method

2. Delphi Method:

*Developed by RAND Corp

*Individuals are asked to answer questionnaires in a total of 2 to 3 rounds

*The persons involved often maintain anonymity even after the test has been completed.

Quantitative Methods:

1. Time series projection methods:

*Trend projection method

*Exponential smoothing method

*Moving average method

Casual methods:

1. Chain ratio method

2. Consumption level method

3 End use method

4.Leading indicator method

Answer 2

Forecasting analysis is the process of using historical data and statistical models to make predictions about future trends or outcomes. It involves examining patterns, factors, and relationships in the data to make informed decisions about future events. Forecasting analysis is commonly used in business to anticipate demand, optimize resources, and improve decision-making.