BUSINESS ADMINISTRATION
OFFICE MANAGEMENT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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A hotel is turning away transient guest for lack of room as they are facing high demand for group business. What is this situation termed as?
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Displacement
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Group attrition
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Wash down
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Bounced reservation
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Explanation:
Detailed explanation-1: -Displacement occurs when a hotel accepts group business at the expense of transient guests. Since transient guestsofften pay higher room rates than group members, this situation warrants close scrutiny.
Detailed explanation-2: -The rate at which group business is being booked is called the group booking pace.
Detailed explanation-3: -Capacity management (also called selective overbooking) balances the risk of overselling against the potential loss of revenue arising from spoilage (rooms going unoccupied after reservations were closed out).
Detailed explanation-4: -Pre-Arrival, 2. Arrival, 3. Occupancy, 4. Departure.
There is 1 question to complete.