BU479 Lecture Notes - Lecture 2: Risk Aversion, Perfect Competition, Time Series
Document Summary
Strategic planning: strategic planning has never been more important, successful companies are led by planners they have short and long term (10-20+ year) visions and business plans focused on data, execution. Strategic planning methods: two methods: top down or bottom up, usually a hybrid method is the best. Forecasting in high tech markets: uncertain at best, projecting sales is more of an art than science and an imperfect market. Have the past to look at and events to guide you toward the future. Quantitative techniques: explanatory, time series: breakthrough innovations: harder to forecast sales. Really is very challenging to project sales without past and present without direct sales and competitors. One option is to look for similar types of breakthrough innovations in other markets, past, looking at trends, etc.
