Pricing Strategy

1. When we experience high demand, we are able to charge a higher rate.

True

False

2. One price model is the most profitable way to manage revenue at a hotel?

True

False

3. Which of the following approach is the recommended selling approach by LHG?

Top-down approach

Bottom-up approach

Best Available Rate approach

Random approach

4. Which of the following pricing approach is the most common approach now using in hotel industry?

Single-rate pricing

Cost-based pricing

Competitive pricing

Demand-based pricing

5. Which of the following approach is not the common selling approach? Which one below is under "Auction Model"?

Top-down approach

Bottom-up approach

Best Available Rate approach

Random approach

6. Which of the following approach is not the strategy to position your pricing versus competition?

Skim

Match

Undercut

Stabilize

Penetrate

7. Which of the following pricing approach is the recommended approach for LHG?

Single-rate pricing

Cost-based pricing

Competitive pricing

Demand-based pricing

8. Which of the following is NOT the situation is likely to have elastic demand?

New Product

Many alternatives

Few alternatives

Insignificant price

9. Which of the following is NOT rate fence?

Control inventory

Control availability

Physical

Transaction

10. Which of the following is NOT the key benefits of using rate fences effectively?

Increase revenue

Increase market share

Create negative business image

Understand customers' behaviour