Read through the Case Study entitled “Highline Financial Services, Ltd.” in Chapter 3 of your textbook. Examine the historical trends this company has experienced for the three products (A, B, C) discussed over the two years shown.
Address the following requirements:
Highline Financial Services provides three categories of service to its clients. Managing partner
Freddie Mack is getting ready to pre- pare financial and personnel hiring (or layoff) plans for the
coming year. He is a bit perplexed by the following printout he obtained, which seems to show
oscillating demand for the three categories of services over the past eight quarters:
Service
Year
Quarter
A
B
C
1
1
60
95
93
2
45
85
90
3
100
92
110
4
75
65
90
Examine the demand that this company has experienced for the three categories of service it
offers over the preceding two years.
Assuming nothing changes in terms of advertising or promotion, and competition doesn’t
change, predict demand for the ser- vices the company offers for the next four quarters. Note that
there are not enough data to develop seasonal relatives. None- theless, you should be able to
make reasonably good, approxi- mate intuitive estimates of demand. What general observations
can you make regarding demand? Should Freddie have any concerns? Explain.
Service
Year
Quarter
A
B
C
1
1
72
85
102
2
51
75
75
3
112
85
110
4
85
50
100