Case Study
"This blizzard is incredible," said Shaniqua, the desk clerk on duty at the Quality Suites located at exit 15 on Interstate 96. "Our phone hasn’t stopped ringing for the past 30 minutes."
"How many rooms do we still have left to sell?" asked Tara, the Front Desk supervisor on duty.
"45 rooms and 3 suites," replied Shaniqua.
"And what rate are you quoting?" asked Tara.
"Rack, just like you told me. But I think you could double that and we would still sell out! The Interstate will be closed down within an hour, and this lobby will be packed with folks wanting rooms."
Questions:
1. If you were Tara, would you increase the room rates at your hotel above the normal "rack" rate? How much?
