A Company Selling Swimming Goggles Wants to Analyze Its Australian

question 80

Essay

A company selling swimming goggles wants to analyze its Australian sales figures.
Time series forecasting with regression was used to generate Excel output to estimate trend and seasonal effects of the time series of Swimming goggle sales (in thousands of dollars) where the origin is the March Quarter 2000 and Q1 denotes sales in the March quarter, Q3 denotes sales in the September quarter and Q4 denotes sales in the December quarter. SUMMARY OUTPUT
$\begin{array}{l}\hline\text { Regression Statistios }\\\begin{array}{lc}\hline\text { Multiple R } & 0.9460 \\\text { R Square } & 0.8950 \\\text { Adjusted R Square } & 0.8864 \\\text { Standard Error } & 3.7394 \\\text { Obserwations } & 54 \\\hline\end{array}\end{array}$

$\text { ANOYA }$
$\begin{array}{lcrrrr} & d f & S S & M S & F & \text { Significance F } \\\hline \text { Regression } & 4 & 5837.596003 & 1459.4 & 104.3701 & 2.41949 \mathrm{E}-23 \\\text { Residual } & 49 & 685.1632564 & 13.9829 & \\\text { Total } & 53 & 6522.759259 & & \\\hline\end{array}$

$\begin{array}{lcrrrrrr} & \text { Coeffients } & \text { Standard Error } & \text { tStat } & \text { P-value } & \text { Lower } 95 \% & \text { Upper } 95 \% \\\hline \text { Intercept } & 3.0588 & 1.3331 & 2.2944 & 0.0261 & 0.3797 & 5.7378 \\\mathrm{t} & 0.2518 & 0.0327 & 7.7052 & 0.0000 & 0.1861 & 0.3175 \\\mathrm{Q} 1 & 12.4604 & 1.3897 & 89664 & 0.0000 & 9.6677 & 15.2530 \\\mathrm{Q} 3& 1.1458 & 1.4721 & 0.7784 & 0.4401 & -1.8124 & 4.1041 \\\mathrm{Q}4 & 23.9121 & 1.4403 & 16.6025 & 0.0000 & 21.0177 & 26.8064 \\\hline\end{array}$ (a) Forecast swimming goggle sales for all four quarters of 2016.
(b) Are these good forecasts? Explain.
(c) Separate the difference in your forecasts for June 2016 and December 2016 between seasonal and trend.

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Definitions:

Ultimate Consumer

The final buyer who purchases products or services for personal use and not for manufacturing or resale.

Pulling Strategy

A marketing strategy designed to create demand from the end-users, effectively "pulling" the product through the distribution channel.

Demand Generation

Strategies and tactics employed by companies to create awareness and demand for their products or services, often involving marketing and sales efforts.