BBA315 Case Study Report 2: Regression Analysis of Visitor Arrivals

This report presents a comprehensive analysis of a regression model for forecasting tourist arrivals, utilizing data from Scandinavian Airlines (Denmark). The analysis begins with a line chart of visitor arrivals over the past four years, followed by the estimation of a multiple linear regression model incorporating time and dummy variables for monthly effects. The report explains the interpretation of model parameters, including the intercept, time coefficient, and coefficients for dummy variables, and provides the overall regression equation. It then examines the R-squared statistic, regression equations for specific months, and a graphical representation of these equations. The analysis extends to tests for the overall and individual significance of model coefficients, forecasts for future periods, and a comparative assessment of the regression model with previous forecasting methods. Finally, the report addresses judgmental forecasting, including subjective assessment methods and scenario analysis, to provide a holistic approach to the business problem and forecasting techniques.