A Comparison of Forecasting Methods For Estimating The Sales of a Retail Firm

Abstract

The purpose of this study was to determine the accuracy of forecasting techniques for a small retail business. Three forecasting techniques were examined. These included a traditional percentage change calculation, an exponential smoothing program (Adaptive Extended Exponential Smoothing), and a multiple regression analysis. Emphasis was placed on forecast accuracy and ease of utilization to determine which method was most appropriate for forecasting sales of a small retail firm.