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knowing (or estimating) the product demand

Why is knowing (or estimating) the product demand so crucial for a firm? In your response, include an example of a business that has suffered from poorly estimating the demand of its products. Evaluate how or why the business made such a mistake.

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It is extremely important to estimate the product demand to adjust the production and procurement strategies of the organization in order to meet the demand in an efficient manner. By correctly forecasting the future demand, organizations are able to adjust their production or sourcing in a manner that allows them to exploit growth opportunities in the most cost effective manner.

Estimating the product demand is ...

Solution Summary

It is extremely important to estimate the product demand to adjust the production and procurement strategies

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