Forecasting Techniques Quiz

What is the primary purpose of forecasting demand for a firm?

• To increase employee satisfaction

• To improve marketing strategies

• To reduce production costs

• To ensure survival, growth, and expansion

Which forecasting method involves sales team members providing their expected sales?

• Delphi method

• Consumer surveys

• Jury of experts

• Sales force composite

What is a key characteristic of the Delphi method?

• Experts meet in person to discuss forecasts

• It uses a single expert's opinion

• It is a qualitative forecasting technique

• It relies solely on sales data

What is a disadvantage of the Delphi method?

• It requires no expert input

• It is quick and efficient

• It is costly and time-consuming

• It is based on quantitative data

Which method is the most frequently used for forecasting demand?

• Moving average

• Sales force composite

• Jury of experts

• Consumer surveys

What is a key advantage of consumer surveys?

• They require no sampling

• They provide actual consumer viewpoints

• They are conducted by experts

• They are always inexpensive

In the jury of experts method, who provides the forecasts?

• Sales representatives

• External consultants

• Random consumers

• Experts directly employed by the business

What is a disadvantage of the jury of experts method?

• It is based on consumer feedback

• It is a bottom-up approach

• Some experts may be influenced by others

• It requires a large sample size

What does a moving average help to show?

• The number of consumers surveyed

• The average sales over time

• The cost of production

• The opinions of experts

Which of the following is NOT a category of data in moving averages?

• Fixed variations

• Cyclical variations

• Trend

• Random variations