Which statement does NOT explain the significance of sales forecasting?

Sales forecasting impacts the company's budget and various business strategies, including sourcing plans, production layout, sales volume, inventory management, and marketing strategies. $q,$

Inaccurate sales forecasting may result in excess inventory, leading the need to offer products at reduced prices.

Inaccurate sales forecasting may result in shortages of high$-$demand products or unnecessary warehousing, both of which lead to losses for the company. $q,$

Sales forecasting is crucial for the company's economic sustainability, however, less relevant to social responsibility in production.