Forecasting enables businesses to precisely quantify their costs and revenues, allowing them to accurately anticipate both their short-term and long-term performance. The main purpose of this study is to determine the sales forecasting strategies commonly used by mobile phone outlets in Nairobi Kenya. The study also establishes effects of sales forecasting strategies on the performance of mobile phone outlets in Nairobi Kenya. Literature on sales forecasting and organizational performance is presented in this study. The literature is linked to the organizational theories that are relevant to the sales forecasting field. The study employs descriptive design to facilitate data collection and analyzing to achieve the research objectives. The study population included 50 mobile phones retail outlets where Owners or managers of these shops were the study's target audience for the questionnaire. The study found that judgmental method is commonly used in retail stores to forecasts their sales. All sales forecasting strategies had a p-value less than 0.05, which indicates that they have significant relationship with performance of mobile phone retail outlets in Nairobi. There was a significant relationship between sales forecasting and performance of retail stores. Keywords: mobile phone retail outlets, sales forecasting strategies

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