Abstract

The article focuses on the methods for forecasting consumer demand for specific products. The discussion of two methods by which consumer demand for specific products can be forecasted is intended to illustrate the objectives of, and some of the special problems involved in making the short-run forecasts typically required for inventory control or production scheduling. Short-range forecasting is of such widespread importance that it may seem unnecessary to cite practical examples of its use. However, by examining some of the practical requirements for this type of forecast, it is possible to make several generalizations about the circumstances under which such requirements usually arise. These generalizations, in turn, suggest various practical considerations of extreme importance in the design of forecasting techniques.