Consumer’s end use method for demand forecasting
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This document discusses consumer end use demand forecasting. It explains that this method focuses on forecasting demand for intermediate goods by taking into consideration the different uses of a good. It provides examples like forecasting demand for milk based on its use in ice cream and other dairy products. The method provides sector-wise demand forecasts for different industries and is especially useful for producer goods. However, it requires complex calculations, data that may not be readily available, and is time consuming and costly. The document also discusses using end use analysis to forecast water demand by separating demand into sectors like residential and industrial, and residential end uses like showers and toilets.
Consumer’s end use method for demand forecasting
- 1. Consumer’s End Use Method For Demand Forecasting Presented By : Nisarg Prabhat Preetha Rekha Sahil Manohar Rishikesh
- 2. Demand Forecasting • Demand Forecasting essentially involves ascertaining the expected level of demand during the period under consideration. • Sales is function of demand. • Types of Demand Forecasting 1.Short term Demand Forecasting 2. Medium term Demand Forecasting 3. Long term Demand Forecasting
- 3. Consumer’s End Use Method This method focuses on forecasting the demand for intermediary goods. The demand for the good in different uses is taken into consideration. Example: Milk is commodity which can be used as an intermediary good for the production of ice cream and other dairy products. Cement may be used for constructing houses, hotels, bridges, etc.
- 4. Accurate Predictions Provide Sector wise demand forecast for different industries. Especially useful for producers goods. Advantages
- 5. Disadvantages • Requires complex and diverse calculations • Costly • Time consuming • Industry data may not be readily available.
- 6. End Use Analysis For Water Demand Forecasting. • Separate Water demand into different Sectors like Residential, industrial • Separate Residential into end uses like Showers, toilets , Kitchen, baths etc.
- 8. Benefits • Detailed understanding of ‘How’ water is used and how this may change over time • Uses concept of the ‘Unit of service’ and not just ‘supplying volume of water’. Limitations • Data on end uses may not be available • Takes more time
- 9. References • www.google.com • www.slideshare.net • www.wikipedia.org • WEDC lolbrough Univercity
- 10. Thank You