Preparing for the Final Paper:
Identifying Factors that affect Demand and Production Forecasts
Identify variables that could be used to predict demand and production. Include at least one variable from each of the following three categories:
- Macroeconomic variables that might impact demand and/or supply in the industry. A good place to start would be the list of economic indicators included in this week's materials.
- Demographic variables. A good place to start would be the Census Bureau. Consider what these demographics tell you about the potential customers of the business you are describing.
- Production characteristics in this industry such as economies of scale, economies of scope, and/or any unique production characteristics that might apply. Some good places to start would be websites of companies in the industry or industry association websites and publications.
For each of the variables you identify, indicate what impact it has on production costs and potential profit, customer demand, the economic environment the business would exist in, and any other impacts you determine would be important in predicting production costs and demand.
Categories:
- Macroeconomic variables that might impact demand and/or supply in the industry. A good place to start would be the list of economic indicators included in this week's materials.
- Demographic variables. A good place to start would be the Census Bureau. Consider what these demographics tell you about the potential customers of the business you are describing.
- Production characteristics in this industry such as economies of scale, economies of scope, and/or any unique production characteristics that might apply. Some good places to start would be websites of companies in the industry or industry association websites and publications.