...years by trend projection method? A company wishes to project the production requirement of a particular product in the coming years.How will the company forecast the demand in the coming years, using the trend projection method
What you (or the company) would do is calculate the average change in annual sales of the product over, say, the last 5 or 10 years. Say it looks like on the average that sales grow by 7% a year. This is the trend - an 7% increase. We then assume that annual sales of the product in the following years will show an 7% increase from year to year. Notice that this has a compound effect and that it predicts that in ten years the demand for the product will roughly double.
This is a very basic description - the actual process is much more sophisticated. For example, you might want to weigh the most recent years more heavily in your calculations