Pres old Capacity Operations Management Assignment Help

Pres old Capacity

A final requirement for the successful implementation of yield management is that the lowerpriced capacity can be sold in advance. This limits the availability of capacity to the high erpriced market segments. As an illustration, hotels usually work with conference planners several years in advance of a conference, offering a given number of rooms at the lowest room rates. Travel groups usually plan tours within a year before they need them and therefore also receive a discount. Finally. the last-minute customer. or “walk-in.” will pay top dollar or the “rack rate” for a hotel room.

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