Accommodation - Paper

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Table of Contents Abstract 3 I. Introduction 4 II. Development of discussion 5 III. Conclusion 8 Reference 10

Abstract

In the hotel business, pricing is one of the most important factors, besides the qualities of offering service that decide the customers’ satisfaction and the reuse service tendency of these customers. In other words, it decides the profitability of each hotel chains. However, in contrast of this important role, these hotels do not apply the appropriate pricing ones as there have been inconsistent and inappropriate quoting prices implementing towards the customers. The most commonly used methods are BAR – Best Available Rates and the Yield Management method will take turn to describe and discuss about its weakness and the constituting reasons of the customers’ low appreciation regarding the hotel chains’ quoting prices. The underlying reasons of the customers are their preference to the individual prices for their staying which helps to lower the travelling expense (Rohlfs, and Kimes, 2005).

I. Introduction
As travelling, the price rate of hotels has been the most important factor affecting the travelling decisions of customers. However, the price rate has not been always stable. According to Rohlfs, and Kimes (2007), the customers have been aware regarding the instability of the hotels’ prices which is because of the request of revenue management from upper executive persons. In details of the instable pricing, the customers asserted that it is inappropriate as hotels tend to reduce the price rates right after the booking process has been completed. As a result, these customers have to depend on the third party distributors to compare the offering prices of the hotels with the hope to receive the lower prices rates. It is due to the inconsistent pricing strategies of these hotel chains that the customers have gradually holding negative points of view regarding the prices rates: a research conducted by Rohlfs, and Kimes

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