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Sales forecasting involves predicting future sales revenue based on historical data, industry trends, and the current sales pipeline. It helps businesses estimate weekly, monthly, quarterly, and annual sales totals, allowing them to determine their market share in a specified future. Key factors affecting sales forecasting include market conditions, economic indicators, and internal performance metrics. Accurate forecasting is crucial as it enables companies to identify potential threats and demand fluctuations, providing a chance to proactively mitigate risks. Various methods and tools can enhance the forecasting process. Ultimately, effective sales forecasting supports strategic planning and decision-making, driving business growth.