Estimating Market Potential
• The Sales Forecast
− A prediction of how much of a product or service can be sold within a market in a defined period of time.
• Assesses the new venture’s feasibility.
• Assists in planning for product scheduling, setting inventory levels, and personnel decisions
• Limitations to Forecasting (for Entrepreneurs)
− Unique new business circumstances
− Lack of familiarity with quantitative methods
− Lack of familiarity with the forecasting process