Table of Contents
Literature Review 3
Research Method 6
Data Analysis and Results 7
Limitation of Study and Implications 9
Retail business has been growing in an increasing percentage in the last decade. Retailers help in easy accessibility of different products to consumers. The main challenges many retailers face in their line of business is sales forecasting and inventory stocking. There is always a question what is a good number for placing any order and how are we going to stock our products with the limited available space. Stocking and sales forecasting are interconnected. Depending on sales forecasting the space available for stocking has to be utilized and also depending only on the available space can we order inventory. For my paper I have chosen forecasting and inventory stocking as the area of emphasis.
During my internship at the bookstore there were two main issues that could be clearly noticed, sales forecasting numbers and inventory shelving. Bookstore’s main line of business consists of selling textbooks related to all classes being conducted at MSU. They sell used and new textbooks around the year. There major sale of textbooks is mainly during the beginning of the semester, as many students are looking for textbooks. But the fact to be seen here is that, the text books sold at the bookstore can be purchased from other retailers and online websites. So this means students always have options outside the bookstore. There are few rental websites also which allow students to rent textbooks for one semester instead of having to purchase the book. Therefor it gets quite hard to forecast on how many textbooks of each class to order. Not just the bookstore but any retailer always faces this problem of forecasting. Every retailer uses a different method which suits...