Purchase Solution

estimating the product demand

Not what you're looking for?

Ask Custom Question

Why is knowing or estimating the product demand so crucial for a firm?

Include an example of a business that has suffered from poorly estimating the demand of its products. Evaluate how or why the business made such a mistake.

Purchase this Solution
Solution Summary

Why is knowing or estimating the product demand so crucial for a firm?

Solution Preview

It is important to know or estimate the product demand accurately because it helps the firm to plan for the demand in advance and modify its manufacturing plan accordingly, so that the firm is not only able to exploit on the growth opportunities due to higher demand effectively and not lose out on such opportunities due to shortage in supply, but is ...

Solution provided by:
Sheetal Jain, PGDM
Education
  • BComm, University of Delhi
  • Post Graduate Diploma in Management (Equivalent to MBA), All India Management Association
Recent Feedback
  • "Thanks"
  • "Thanks"
  • "Very good! "
  • "thanks"
  • "Thank you!"
Purchase this Solution
Free BrainMass Quizzes
Understanding the Accounting Equation

These 10 questions help a new student of accounting to understand the basic premise of accounting and how it is applied to the business world.

Lean your Process

This quiz will help you understand the basic concepts of Lean.

MS Word 2010-Tricky Features

These questions are based on features of the previous word versions that were easy to figure out, but now seem more hidden to me.

Social Media: Pinterest

This quiz introduces basic concepts of Pinterest social media

Writing Business Plans

This quiz will test your understanding of how to write good business plans, the usual components of a good plan, purposes, terms, and writing style tips.

View More Free Quizzes
Related BrainMass Solutions

  • knowing (or estimating) the product demand

    325119 Why is knowing (or estimating) the product demand so crucial for a firm? In your response, include an example of a business that has suffered from poorly estimating the demand of its products.

  • Important information about Calculating number of machines required

    40 Total time required to meet the demand of product A =Processing time +Set up time =2*4000+40*8 =8320 hours Estimating time needed to meet the demand for Product B D = number of units forecast per year =2000 p = processing time (in hours per

  • data collection problems

    64275 Data Collection problems in estimating the demand for a product When a firm estimates the demand for its product what data collection problems would you anticipate having?

  • Estimating Sales and importance to business

    Estimating the demand for new product: Basically there are two methods of forecasting the demand for new product. 1) Top down Forecasting: a) Gather All Relevant Information: Information's like the total market area population

  • Demand Analysis, Optimal Pricing and Estimating and Forecasting Demand

    The common practices for demand analysis, optimal pricing and estimating and forecasting demand are examined.

  • Forecasing Definition and Market Demand

    - The models may be inaccurate - If one don't recognize the product cycle. Thus forecasting demand is a key ingredient for effective planning.

  • Market demand, market potential and market share

    Market Demand The various ways of estimating demand are: 1. Historical Sales figures 2. Forecasting current Demand by regression analysis, trend analysis 3. Estimating Industry growth 4.

  • Pringly Division

    A new technique for estimating the probability of achieving target sales and profits will be discussed. This requires managers to estimate demand for the new product and assign probabilities.

  • factors affecting the Market demand

    Estimating Economy's growth Estimation of total sales= No. of expected buyer*quantity purchased by an average buyer*price of an average unit Estimation of demand for new product We will use forecasting tools to estimate the demand for new product

View More Related Solutions