Application and verification of a method to evaluate regional sales strength-In case where total market share is unavailable

Application and verification of a method to evaluate regional sales strength-In case where total market share is unavailable

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Article ID: iaor1989460
Country: Japan
Volume: 32
Issue: 2
Start Page Number: 115
End Page Number: 142
Publication Date: Jun 1989
Journal: Journal of the Operations Research Society of Japan
Authors:
Keywords: demand, manufacturing industries, statistics: inference
Abstract:

This paper presents an application and verification of a method to evaluate regional sales strength of mass-produced goods. Regional sales strength of a product is defined as a composite of the regional market share of a company’s product and its regional growth potential. The evaluation method is based on conventional market analysis procedure using market index. The method is systematized by introducing such concepts as market share and time series. Different computational schemata are provided depending upon availability of national market share estimates. The method to be used in the case where the total market share is available has been discussed in other paper by the same author. This paper, on the other hand, presents a method to be used when the total market share is unavailable. Examples are given to illustrate the usefulness of the method in practical application. The result obtained by the method can be usefully applied to sales planning, as well as to sales management, as shown by an example. This paper also discusses the significance of using, and comparing the results from, the two methods: one for the case where total market share is available, and the other for the case where it is not available. [In Japanese.]

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