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Buzz 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 1128 of units of Buzz are sold in the Nano segment. If the competitive environment remains unchanged what will be the Buzz product’s demand next year (in 000’s)? Select: 1Save Answer 1128 1207 2572 1286

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jepessoa

Answer:

1286

Explanation:

the following information is missing:

  • The marketing team makes a 14 percent growth forecast

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

actual demand = 1,128 units

estimated sales increase = 14%

sales forecast for next year = 1,128 + (14% x 1,128) = 1,128 + 157.92 = 1,285.92 ≈ 1,286 units

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