Which forecasting model relies on the estimates of expected sales provided by salespersons?

• A. Market survey
• B. Jury of executive opinion
• C. Sales force composite
• D. Delphi method

Answer: (C)

The sales force composite forecasting model is grounded in the direct insights provided by sales personnel regarding future sales projections. In this model, salespeople, who have firsthand experience with customers and market trends, offer their estimates of expected sales for a specific time period. This approach leverages the knowledge and expertise of those closest to the market, which can enhance the accuracy of sales forecasts.

The rationale behind using the sales force's input is that they often have unique insights into customer needs, preferences, and behavior that may not be captured through less direct methods. By aggregating these individual forecasts from the sales team, organizations can create a more robust picture of anticipated sales performance.

In contrast, the other forecasting methods mentioned involve different processes. Market surveys gather data from potential customers, the jury of executive opinion relies on expert judgment and consensus from high-level executives, and the Delphi method seeks to achieve a collected judgment through a series of questionnaires distributed among a panel of experts. Each of these methods has its own strengths, but they do not specifically center on the sales estimates provided by the sales force, which is the defining characteristic of the sales force composite model.