SALES FORCE MANAGEMENT EXAM 2 QUESTIONS AND ANSWERS
Naive - CORRECT ANSWER✅✅Using the current sales to forecast the sales for next period, assuming no
new trend in sales
Ratio Method - CORRECT ANSWER✅✅Using the trends from the previous two periods to project sales
for the next period , assuming there is a new sales trend
Simple Moving Avarage - CORRECT ANSWER✅✅Average price over a specific period of time
Weighted Moving Avarage - CORRECT ANSWER✅✅Assigning a heavier weight to current data points
since they are more relevant than data points in the distant past
Exponential Smoothing Model - CORRECT ANSWER✅✅Using this model allows the forecaster to have
sales in certain periods of time influence the forecast more than other periods
Survey Methods of Forecasting - CORRECT ANSWER✅✅Rely on the opinions and judgements of
experts, such as sales reps to derive sales forecasts
Executive opinion, Sales Force Composite
Mathematical Methods of Forecasting - CORRECT ANSWER✅✅Apply mathematical and statistical
techniques to historical data to forecast sales
Moving Avarage Models, Exponential Smoothing Models, Regression Models
Operational Methods of Forecasting - CORRECT ANSWER✅✅Take information from the marketing
plans, financial requirements, or the company's capacity to derive a sales forecast
Test Markets, Capacity-Based Calculations
, What is the difference between regression and other forecasting methods? - CORRECT
ANSWER✅✅Regressive Method is a simple linear model of forecasting that is used to project sales
trends into the future by estimating the relationship among the variables in the chart
What is better, survey or mathematical methods - CORRECT ANSWER✅✅Both are good, survey
methods rely on the opinions and judgements of experts who will be making the purchase decision. This
is mostly used when dealing with a new product where historical data is not available.
Mathematical methods apply mathematical and statistical techniques to historical data and forecast
sales
What is the point of market tests? What are their limitations? - CORRECT ANSWER✅✅When you have a
new innovative product, or no reliable data marketing tests can collect sales data, and test the
marketing plan.
Limitations can be if the product requires extensive investment and fixed assets before they are
introduced to the market, or if it is a product that takes time to gain acceptance.
What is the purpose of a sales budget? - CORRECT ANSWER✅✅The purpose of sales budget is to be the
basis for all operating activities in the sales department, production department, and finance areas
Objective/Task Method of Calculating Sales - CORRECT ANSWER✅✅Determine the objective and the
tasks needed to complete the objective
Ex:
Objective - Samples to be distributed
Task - # of Doctors to be visited
Cost of achiving objective:
$Samples
$ Travel & Time for each sale
======================
Total cost of sampling
Naive - CORRECT ANSWER✅✅Using the current sales to forecast the sales for next period, assuming no
new trend in sales
Ratio Method - CORRECT ANSWER✅✅Using the trends from the previous two periods to project sales
for the next period , assuming there is a new sales trend
Simple Moving Avarage - CORRECT ANSWER✅✅Average price over a specific period of time
Weighted Moving Avarage - CORRECT ANSWER✅✅Assigning a heavier weight to current data points
since they are more relevant than data points in the distant past
Exponential Smoothing Model - CORRECT ANSWER✅✅Using this model allows the forecaster to have
sales in certain periods of time influence the forecast more than other periods
Survey Methods of Forecasting - CORRECT ANSWER✅✅Rely on the opinions and judgements of
experts, such as sales reps to derive sales forecasts
Executive opinion, Sales Force Composite
Mathematical Methods of Forecasting - CORRECT ANSWER✅✅Apply mathematical and statistical
techniques to historical data to forecast sales
Moving Avarage Models, Exponential Smoothing Models, Regression Models
Operational Methods of Forecasting - CORRECT ANSWER✅✅Take information from the marketing
plans, financial requirements, or the company's capacity to derive a sales forecast
Test Markets, Capacity-Based Calculations
, What is the difference between regression and other forecasting methods? - CORRECT
ANSWER✅✅Regressive Method is a simple linear model of forecasting that is used to project sales
trends into the future by estimating the relationship among the variables in the chart
What is better, survey or mathematical methods - CORRECT ANSWER✅✅Both are good, survey
methods rely on the opinions and judgements of experts who will be making the purchase decision. This
is mostly used when dealing with a new product where historical data is not available.
Mathematical methods apply mathematical and statistical techniques to historical data and forecast
sales
What is the point of market tests? What are their limitations? - CORRECT ANSWER✅✅When you have a
new innovative product, or no reliable data marketing tests can collect sales data, and test the
marketing plan.
Limitations can be if the product requires extensive investment and fixed assets before they are
introduced to the market, or if it is a product that takes time to gain acceptance.
What is the purpose of a sales budget? - CORRECT ANSWER✅✅The purpose of sales budget is to be the
basis for all operating activities in the sales department, production department, and finance areas
Objective/Task Method of Calculating Sales - CORRECT ANSWER✅✅Determine the objective and the
tasks needed to complete the objective
Ex:
Objective - Samples to be distributed
Task - # of Doctors to be visited
Cost of achiving objective:
$Samples
$ Travel & Time for each sale
======================
Total cost of sampling
