Making Decisions Based on Demand and Forecasting

Making Decisions Based on Demand and Forecasting

The Pizza Company is considering entering the marketplace in your community. Use the information from “The Pizza Company Data” worksheet, located in Week 3 (attachment)  of your course shell, to complete this assignment. By conducting a demand analysis and forecast for pizza, you will be able to make a decision whether The Pizza Company should establish a presence in your community.

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Write a three to five (3-5) page paper in which you:

  1. Use Excel or other calculation software to input the data to calculate an estimated regression. Then, from the calculation provided, interpret the coefficient of determination, indicating how it will influence your decision to open the pizza business in your town or community. Explain any additional variables that may improve the coefficient of determination.
  2. Test the statistical significance of the independent variables and the regression equation, indicating how it will impact your decision to open the pizza shop.
  3. Forecast the demand for pizza for the next four (4) periods using the regression equation.
  4. Based on the forecasted demand, determine whether The Pizza Company should establish an operation in your community. Provide a rationale and support for the decision.

Your assignment must follow these formatting requirements:

  • Be typed, double-spaced, using Times New Roman font (size 12), with one-inch margins on all sides; citations and references must follow APA or school-specific format. Check with your professor for any additional instructions.
  • Include a cover page containing the title of the assignment, the student’s name, the professor’s name, the course title, and the date. The cover page and the reference page are not included in the required assignment page length.

The specific course learning outcomes associated with this assignment are:

  • Apply the concepts of supply and demand to determine the impact of changes in market conditions in the short run and long run, and the economic impact on a company’s operations.
  • Use technology and information resources to research issues in managerial economics and globalization.
  • Write clearly and concisely about managerial economics and globalization using proper writing mechanics

 

 

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