Chapter 7

Chapter 7 Demand Estimation & Forecasting

Direct Methods of Demand Estimation ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],7-

Direct Methods of Demand Estimation ,[object Object],[object Object],[object Object],[object Object],7-

Empirical Demand Functions ,[object Object],[object Object],[object Object],7-

Empirical Demand Functions ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],7-

Empirical Demand Functions ,[object Object],7-

Nonlinear Empirical Demand Specification ,[object Object],7-

Demand for a Price-Setter ,[object Object],[object Object],[object Object],[object Object],7-

Time-Series Forecasts ,[object Object],[object Object],[object Object],7-

Linear Trend Forecasting ,[object Object],[object Object],[object Object],7-

A Linear Trend Forecast (Figure 7.1) 7- Sales Time Q t 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006           Estimated trend line 2007  7 2012  12

Forecasting Sales for Terminator Pest Control (Figure 7.2) 7-

Seasonal (or Cyclical) Variation ,[object Object],[object Object],[object Object],[object Object],7-

Sales with Seasonal Variation (Figure 7.3) 7- 2004 2005 2006 2007                

Dummy Variables ,[object Object],[object Object],[object Object],[object Object],[object Object],7-

Effect of Seasonal Variation (Figure 7.4) 7- Sales Time Q t t Q t = a’ + b t a’ a Q t = a + b t c

Some Final Warnings ,[object Object],[object Object],[object Object],7-

Chapter 7

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Chapter 7