BUSINESS ADMINISTRATION
OFFICE MANAGEMENT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Wash factor
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Displacement
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Group attrition
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Vacant rooms
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Detailed explanation-1: -The hotel’s deletion of unnecessary group rooms from a group block is called the ‘wash factor’.
Detailed explanation-2: -Group Wash The difference between the final occupancy from a group and the maximum value of the block pace or the pickup 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: -Overselling is the practice of accepting more reservations for a particular day than there actually are rooms in the hotel. This is in order to compensate for the estimated wash factor. The wash factor is the hotel’s estimate of no-shows plus cancellations and early departures.