Question

Brat is a product of the Baldwin company which is primarily in the Nano segment, but is also sold in another segment. Baldwin starts to create their sales forecast by assuming all policies (R&D, Marketing, and Production) for all competitors are equal this year over last. For this question assume that all 699 of units of Brat are sold in the Nano segment. If the competitive environment remains unchanged what will be the Brat productâs demand next year (in 000âs)A. 699B. 1594C. 797D. 748

Answer 1

C) 797

Step-by-step explanation:

If the competitive environment remains the same, then the sales forecast should equal actual demand + estimated sales increase:

• actual demand = 699 units
• estimated sales increase = 14%

sales forecast for next year = 699 + 14% = 699 + 97.86 = 796.86 ≈ 797