Sales Force Management Exam #2 Questions with
Answers (100% Correct Answers)
Naive Answer: Using the current sales to forecast the sales for next
period, assuming no new trend in sales
Ratio Method 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 Answer: Average price over a specific period
of time
Weighted Moving Avarage Answer: Assigning a heavier weight to
current data points since they are more relevant than data points in the
distant past
Exponential Smoothing Model 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 Answer: Rely on the opinions and
judgements of experts, such as sales reps to derive sales forecasts
Executive opinion, Sales Force Composite
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Mathematical Methods of Forecasting Answer: Apply mathematical
and statistical techniques to historical data to forecast sales
Moving Avarage Models, Exponential Smoothing Models, Regression
Models
Operational Methods of Forecasting 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? 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 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.
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Mathematical methods apply mathematical and statistical techniques
to historical data and forecast sales
What is the point of market tests? What are their limitations? 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? 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 Answer: Determine the
objective and the tasks needed to complete the objective
Ex:
Objective - Samples to be distributed
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