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A sales forecast is an essential tool for managing a business of any size. Every year is different so you need to list any changing circumstances that could significantly affect your sales. I would start by writing down your sales assumptions. For example, you might predict that a customer will purchase $1,000 worth of products. If you estimate that there’s a 70 per cent chance of this happening, the forecast sales for this customer are $700, i.e. 70 per cent of $1,000. Selling more of your product to an existing customer is far easier than making a first sale to a new customer. So the conversion rates for existing customers are much higher than those for new customers. By predicting actual sales, you’re forecasting what you think will be sold.

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I chose Disney. With the release of six movies in 2019, market shares are sure to rise. By letting pricing be dictated by competitive conditions, Disney will achieve gains in market share.

According to http://disney.wikia.com/wiki/2019, there are twelve movies being released under the Disney brand. I personally am excited for just about all of them! Aladdin is my absolute favorite, with Lion King next. The advertising for these movies has been nothing short of consistent, continuous and alluring. These networking effects make a product or service more valuable when other people are patronizing the same brand. Disney has released movies not only worthy of sequels, but those that have created excitement and nostalgia with the remake. In this case, I don’t foresee Disney using share-driven pricing as the end goal however, with anticipated revenues of $120 price estimate for Disney’s stock, Disney is already ahead of the game for Q1.

Nagle, T. T. (2018). The Strategy and Tactics of Pricing, 6th Edition. [Strayer University Bookshelf]. Retrieved from https://strayer.vitalsource.com/#/books/9781351733717/