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  • Displacement Theory Presentacion

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    Diego Salceda Balboa
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    The document discusses two plans - Plan A and Plan B - for booking rooms in a 300-room hotel in July. Plan B would accept a group booking 76 rooms at a lower rate, generating $6,840 in potential revenue along with other bookings. Plan A would turn away the group and try to fill those rooms with higher-paying transient guests instead, generating $14,000 if successful. Both plans estimate additional potential revenue from rooms left to book after factoring in existing reservations and the group or transient bookings.

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    The document discusses two plans - Plan A and Plan B - for booking rooms in a 300-room hotel in July. Plan B would accept a group booking 76 rooms at a lower rate, generating $6,840 in potential revenue along with other bookings. Plan A would turn away the group and try to fill those rooms with higher-paying transient guests instead, generating $14,000 if successful. Both plans estimate additional potential revenue from rooms left to book after factoring in existing reservations and the group or transient bookings.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PPTX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    8 views3 pages

    Displacement Theory Presentacion

    Uploaded by

    Diego Salceda Balboa
    The document discusses two plans - Plan A and Plan B - for booking rooms in a 300-room hotel in July. Plan B would accept a group booking 76 rooms at a lower rate, generating $6,840 in potential revenue along with other bookings. Plan A would turn away the group and try to fill those rooms with higher-paying transient guests instead, generating $14,000 if successful. Both plans estimate additional potential revenue from rooms left to book after factoring in existing reservations and the group or transient bookings.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PPTX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    of 3

    Displacement Theory

    The acceptance of a group or a certain market segment over another.

    PLAN B

    ACCEPT THE GROUP

    300 Bedrooms/ 1 night in July


    1. 174 rooms already booked Revenue Potential = 175/- x 174

    $30,450.00

    2. 76 Rooms (Galaxo Group) Revenue Potential = 90/- x 76 = $6,840.00

    3. 50 Rooms still available Revenue Potential = 175/- x 50 = $8750.00 (reliable?)

    PLAN A

    Turnaway the Group

    300 Room Hotel in July


    1. 174 rooms already booked Revenue Potential = 175/- x 174

    $30,450.00

    2. 80 Rooms Transient Pick-Up Revenue Potential = 175/- x 80 = $14,000.00

    3. 46 Rooms still available Revenue Potential = 175/- x 46 = $8050.00 (reliable?)

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