Employing of Extended Characteristic Surface Model for Forecasting of Demand in Tourism

  • Janusz Opiła AGH University of Science and Technology, Poland
Keywords: Sentiment, Forecasting, Visualization, Machine Learning, Tourism

Abstract

Extended Characteristic Surface Model (eCSM) is a theoretical tool of general application designed for computing coefficients in stochastic (Monte Carlo) simulations in particular in multi equation stochastic econometric models. Econometric models are most often used for economic analysis of large enterprises as well as national economies but rarely for analysis of the small entities. The reason are very high costs of building and testing of such a large-scale models. However, presented hereby eCSM delivers not so expensive, rather intuitive and flexible method eligible for consumer sentiment analysis and forecasting as well as for "what-if" inferring suitable for entities of all sizes. In particular, it allows for analysis of demand variation resulting from messages concerning competing merchandises. The article is focused on application of eCSM for evaluation of sentiment and forecast of demand in tourism. In the work extended characteristic surface method is explained in thorough details, furthermore influence of factors such as demographic structure, prices or market size on financial outcomes is analyzed on the example of small touristic entity.

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Published
2020-09-21
How to Cite
Opiła, J. (2020). Employing of Extended Characteristic Surface Model for Forecasting of Demand in Tourism. Proceedings of the ENTRENOVA - ENTerprise REsearch InNOVAtion Conference (Online), 6(1), 60-73. Retrieved from https://proceedings.entrenova.org/entrenova/article/view/310
Section
Mathematical and Quantitative Methods