Revenue Management Final
This formula represents a buyers view of a sales transaction? - ANS- Perceived
Value-Selling Price=Personal Profit
Effective revenue managers use this to best develop and evaluate their organizations
pricing and revenue management strategies and tactics. - ANS- Regular Strategy
meetings
A pricing system based upon a buyers view of product or service value - ANS-
Value-based pricing
Included in the Place portion of a hotel's markieting mix - ANS- Distribution channels
Tasha's hotel sold 175 rooms last night at an ADR of 200.00. Her hotel has 250 rooms.
What was the RevPAR? - ANS- 140.00
The term used to describe efforts undertaken to encourage travel and tourism to a
specific geographic area or attraction - ANS- Destination marketing.
An appropriate selling price for a product or service must dictate its allowable costs. -
ANS- TRUE
(A + B) - C = D - ANS- As C decreases, D increases
What differential pricing strategy would in most cases be illegal or unethical if
implemented? - ANS- Pricing based on the ethnicity of the buyer.
50 rooms per week for the next 52 weeks, each room rented two days at a time. How
many room nights - ANS- 5,200
Next week-end demand for her rooms(500)will exceed the number of rooms available
for sales. Which high demand pricing strategy will optimize revenue for her property? -
ANS- Implement a differential pricing strategy and allocate the limited supply to those
market segments who value the room most highly
Revenue management seeks to maximize income while revenue optimization seeks to
maximize long-term profits. - ANS- TRUE
, Intangibility - ANS- Refers to the fact that service most often cannot be held, touched, or
even seen before they are purchased.
Break Even point - ANS- Term for the point at which an organization's revenue is exactly
equal its costs.
GOPPAR FORMULA - ANS- Total Revenue-Management Controllable Expense/Rooms
available to sell
Charging guests for watching a PAYPERVIEW movie in their hotel is an example of -
ANS- Two-tiered pricing
What two factors do successful revenue managers employ when they devise and
implement strategic pricing plans - ANS- Data management and insight
What is the relationship between differential pricing and consumer surplus: - ANS-
differential pricing is a strategy used by sellers to minimize consumer surplus.
The name for the price percieved by consumers to be the normal or standard price for a
product or a service - ANS- Reference Price
The name for the net value achieved by both parties in a business transaction - ANS-
Profit
STR - ANS- A company that specializes in helping hospitality managers evaluate their
effectiveness.
The requirement that a buyer present a coupon at the time of purhcase is an example of
what differential pricing - ANS- pricing based on customer chracteristics.
What special challeges do buyers of hospitality products such as hotel guestrooms or
restuarant meals face - ANS- Difficulty in quality evaluation prior to purchase
What is the fundemental assumption upon which the Law of Supply is based? - ANS-
The higher the demand for a product the more of it will be produced by sellers
100 hotel rooms to sell. Saturday night has enough customers to sell 125 rooms so she
will be refusing 25 requests for rooms` - ANS- Constrained supply
This formula represents a buyers view of a sales transaction? - ANS- Perceived
Value-Selling Price=Personal Profit
Effective revenue managers use this to best develop and evaluate their organizations
pricing and revenue management strategies and tactics. - ANS- Regular Strategy
meetings
A pricing system based upon a buyers view of product or service value - ANS-
Value-based pricing
Included in the Place portion of a hotel's markieting mix - ANS- Distribution channels
Tasha's hotel sold 175 rooms last night at an ADR of 200.00. Her hotel has 250 rooms.
What was the RevPAR? - ANS- 140.00
The term used to describe efforts undertaken to encourage travel and tourism to a
specific geographic area or attraction - ANS- Destination marketing.
An appropriate selling price for a product or service must dictate its allowable costs. -
ANS- TRUE
(A + B) - C = D - ANS- As C decreases, D increases
What differential pricing strategy would in most cases be illegal or unethical if
implemented? - ANS- Pricing based on the ethnicity of the buyer.
50 rooms per week for the next 52 weeks, each room rented two days at a time. How
many room nights - ANS- 5,200
Next week-end demand for her rooms(500)will exceed the number of rooms available
for sales. Which high demand pricing strategy will optimize revenue for her property? -
ANS- Implement a differential pricing strategy and allocate the limited supply to those
market segments who value the room most highly
Revenue management seeks to maximize income while revenue optimization seeks to
maximize long-term profits. - ANS- TRUE
, Intangibility - ANS- Refers to the fact that service most often cannot be held, touched, or
even seen before they are purchased.
Break Even point - ANS- Term for the point at which an organization's revenue is exactly
equal its costs.
GOPPAR FORMULA - ANS- Total Revenue-Management Controllable Expense/Rooms
available to sell
Charging guests for watching a PAYPERVIEW movie in their hotel is an example of -
ANS- Two-tiered pricing
What two factors do successful revenue managers employ when they devise and
implement strategic pricing plans - ANS- Data management and insight
What is the relationship between differential pricing and consumer surplus: - ANS-
differential pricing is a strategy used by sellers to minimize consumer surplus.
The name for the price percieved by consumers to be the normal or standard price for a
product or a service - ANS- Reference Price
The name for the net value achieved by both parties in a business transaction - ANS-
Profit
STR - ANS- A company that specializes in helping hospitality managers evaluate their
effectiveness.
The requirement that a buyer present a coupon at the time of purhcase is an example of
what differential pricing - ANS- pricing based on customer chracteristics.
What special challeges do buyers of hospitality products such as hotel guestrooms or
restuarant meals face - ANS- Difficulty in quality evaluation prior to purchase
What is the fundemental assumption upon which the Law of Supply is based? - ANS-
The higher the demand for a product the more of it will be produced by sellers
100 hotel rooms to sell. Saturday night has enough customers to sell 125 rooms so she
will be refusing 25 requests for rooms` - ANS- Constrained supply
