Demand forecasting factors influencing

Yogi Berra, the former New York Yankees catcher who is famous for his malapropisms, once said, It s tough to make predictions, especially about the future. One may be tempted to treat demand forecasting as magic or art and leave everything to chance. What a firm knows about its customers past behavior, however, sheds light on their future behavior. Demand does not arise in a vacuum. Rather, customer demand is influenced by a variety of factors and can be predicted, at least with some probability, if a company can determine the relationship between these factors and future demand. To forecast demand, companies must first identify the factors that influence future demand and then ascertain the relationship between these factors and future d and. 

Identify the major factors that influence the demand forecast. 

Identify Major Factors That Influence the Demand Forecast... 

Customer demands are influenced by many factors, such as product suitability, appearance, quality, technical progress, price and seasonality. However, it is quite complex to consider various factors to forecast customer demand with one forecasting method. The following chapter shows the customer demand change may be influenced by the demand fluctuation itself. 

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