Revenue Management Study guides, Class notes & Summaries

HTM 3524 - Final Exam - Chapter 7 (Revenue Management)

Revenue Management Final with complete solution

REVENUE MANAGEMENT FINAL EXAM PRACTICE QUESTIONS

What is bigger in the tourism industry, fixed costs or variable costs? - fixed costs are bigger -Think of an airplane: staffing, airport fees (fixed) - huge amount of the costs for airplanes come from fixed costs; food, fuel (variable) - not as easy to determine the variable costs We can reduce prices (even below total cost per room), as long as the reduced price covers, fixed cost per room or variable cost per room? - We can reduce prices as long as the reduced price covers the variable co...

What is the industry term used to describe the sum of prices paid by a business's customers? - Total Revenues Historically, what concept have hospitality managers chiefly used to calculate their selling prices? - Costs What is an algebraic equivalent of the formula: Sales = Costs + Profit? - Profit = Sales - Costs What is the name for the net value achieved by both parties in a business transaction? - Profit What element is not present in a barter economy? - Money What is the formula use...

This formula represents a buyers view of a sales transaction? - 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. - Regular Strategy meetings A pricing system based upon a buyers view of product or service value - Value-based pricing Included in the Place portion of a hotel's marketing mix - Distribution channels Tasha's hotel sold 175 rooms last night a...

Revenue Management Final Exam Questions with Correct and Verified Answers Revenue - Correct answer The total amount of sales achieved in a specified time period" "Revenue is calculate as: - Correct answer Number of Units Sold x Unit Price" "Effective managers of an organization's revenues MUST do three things - Correct answer 1. Understand the importance of revenue management 2. Understand the many complex factors that influence revenue management strategy and tactics 3. Beco...

Hospitality Revenue Management final exam review Question & Answers What is the industry term used to describe the sum of prices paid by a business's customers? - Correct answer total revenues" "Historically, what concept have hospitality managers chiefly used to calculate their selling prices? - Correct answer costs" "What is an algebraic equivalent of the formula: Sales = Costs + Profit? - Correct answer profit=sales-costs" "What is the name for the net value achieved by b...

revenue management strategies and tactics -correct answer -increase revenues and profitability -increase market share -serve more guests hurdle rate -correct answer lowest rate for a given day smoothing demand -correct answer benefit of variable pricing within rev management revenue management -correct answer a set of strategies and techniques used to sell the right product, to the right customer, at the right time, for the right price revenue magement is a set o...