Local city government statistics show the rate of new driver’s license applications to be as follows: Month week Applications Weekly Forecast May 1 338 2 299 3 315 4 312 June 1 307 2 310 3 305 4 Which forecasting method is better? Why?

Local city government statistics show the rate of new driver’s license applications to be as follows: Month week Applications Weekly Forecast May 1 338 2 299 3 315 4 312 June 1 307 2 310 3 305 4 Which forecasting method is better? Why?

Marketing

20th Edition

ISBN:9780357033791

Author:Pride, William M

Publisher:Pride, William M

Chapter6: Target Markets: Segmentation And Evaluation

Section: Chapter Questions

Problem 17DRQ: Under what conditions might a firm use multiple forecasting methods?

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Concept explainers

Forecasting in Business

Forecasting is the process of predicting the future based on the past and the present data and circumstances. In other words, forecasting is the act of making a detailed analysis of future events based on the decisions made in the past as well as the present. Forecasting plays a very important role in operational management as it helps in planning and decision-making. It is not only important for the success of a business but also contributes to individual growth and success. Many business organizations or companies have failed due to the shortcomings of their forecasting.

Question

Local city government statistics show the rate of new driver’s license applications to be as follows:

Month	week	Applications	Weekly Forecast
May	1	338
	2	299
	3	315
	4	312
June	1	307
	2	310
	3	305
	4

Which forecasting method is better? Why?

Leveraging special tenchniques in analyzing historical data to predict future trends. Forecasting covers the methods and types of forecasting and their application to case studies.

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