Answered: a. They generally work best when…

Business

Operations Management

a. They generally work best when combined with a quantitative approach

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter13: Regression And Forecasting Models

Section13.7: Exponential Smoothing Models

Problem 25P: The file P13_25.xlsx contains the quarterly numbers of applications for home mortgage loans at a...

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Concept explainers

Forecasting in Business

Forecasting is the process of predicting the future based on the past and the present data and circumstances. In other words, forecasting is the act of making a detailed analysis of future events based on the decisions made in the past as well as the present. Forecasting plays a very important role in operational management as it helps in planning and decision-making. It is not only important for the success of a business but also contributes to individual growth and success. Many business organizations or companies have failed due to the shortcomings of their forecasting.

Question

Which of the following is not true of qualitative forecasting methods?

a. They generally work best when combined with a quantitative approach

b. They are more objective than quantitative methods

c. They are largely non-mathematical

d. They are not restricted to only the quantifiable data

e. They come with the danger of biasing the forecast due to subjectivity

Explain both true and false options briefly

Leveraging special tenchniques in analyzing historical data to predict future trends. Forecasting covers the methods and types of forecasting and their application to case studies.

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