Each year as a part of our annual planning process, we have to come up with a revenue target upon which the budgets of the rest of the company are based. Judging from past experience, we understand that sales are based on the number of salespeople and the level of promotional activity. I run a regression to predict or forecast my sales for the next year. The dependent variable is, of course, sales, and I have two independent variables, which are the number of sales people and the level of promotional activity.
When does a vice president of sales use regression?