Demand management refers to the strategies and actions employed to influence and control the demand for goods and services in the market. It involves managing and optimizing customer demand to ensure efficient allocation of resources and meet organizational goals.
Demand management encompasses various activities, including forecasting, pricing, promotion, and inventory management.
and shape customer demand, reducing the likelihood of supply-demand imbalances. Effective demand management helps businesses align production, distribution, and marketing efforts, minimizing costs and maximizing profitability. It also enables better customer satisfaction by ensuring product availability and timely delivery. Ultimately, demand management aims to strike a balance between customer demand and business capabilities, leading to improved operational efficiency and competitiveness in the market.