An increasing number of organizations operate sophiscated corporate planning
models. Quite often these models feature integrated models for the
production, marketing and finance sub-systems. While linkage between these
models is important forecasts of the external environment are also needed and
econometric models are frequently used to provide these forecasts.
Required:
Under production, marketing and finance sub-systems, what information about
the environment might be provided by the econometric models? (9
marks)