Sample interview questions: Can you explain your experience with analyzing and forecasting market price elasticity?
Sample answer:
Experience with Analyzing and Forecasting Market Price Elasticity
My expertise in analyzing and forecasting market price elasticity encompasses both quantitative and qualitative methodologies. I leverage robust econometric models, time series analysis, and market research to determine how changes in product pricing impact demand.
Quantitative Techniques:
- Econometric Modeling: I employ regression analysis to establish the relationship between product price and demand, isolating other factors that may influence purchasing behavior. This allows me to derive elasticity estimates, reflecting the percentage change in demand relative to price fluctuations.
- Time Series Analysis: I utilize historical market data to identify patterns and trends in price and demand. By applying techniques such as ARIMA and SARIMA models, I forecast future price elasticity and anticipate market responses to potential pricing changes.
Qualitative Techniques:
- Market Research: I conduct surveys, focus groups, and interviews to gather qualitative insights from consumers. This helps gauge their sensitivity to price changes, their perceptions of value, and their overall price expectations.
- Competitive Analysis: I monitor pricing strategies of competitors and analyze their impact on market demand. This enables me to assess competitive dy… Read full answer