31 Questions
Which type of hotel property is not clearly associated with any other properties in terms of ownership and management?
Independent hotel
What is a disadvantage of an independent hotel?
Access to management expertise
What do chain hotels typically establish to limit affiliate actions?
Minimum set of standards
What do some chain hotels focus solely on in terms of central functions?
Centralized purchasing, marketing, and advertising
Which type of hotel property exercises tight control over the design, administration, and standards of affiliate properties?
Chain hotel
In conventional methods, how are hotels evaluated and what do they heavily rely on?
Independently; amenities offered
What is the main purpose of a management contract in the hotel industry?
To manage the business operations for a fee
Which structure was chosen to simplify reality in hotel connections?
Tripartite structure
What is the primary drawback for smaller hotels in relation to their level of comfort and attaining a higher classification?
Lack of an elevator
What is the primary responsibility of the owner in a management contract?
Legal ownership of the property
Which real estate investment trusts are mentioned as owners of hotels operated by management firms?
Marriott International and Starwood Lodging and Trust
What is the primary purpose of purchasing franchise licenses for hotel properties?
To reduce investment risks and increase competitiveness
What is the primary difference between management contracts and lease contracts?
The ownership transfer to the operator
Which term refers to hotel-focused real estate investment trusts?
Starwood Lodging and Trust
Why might finding statistical information on hotel connections be difficult?
Because the facts are broad and not easily accessible
What is a common reason for smaller hotels to be prohibited from attaining a higher classification?
Lack of feature like an elevator
What is the primary advantage of an independent hotel?
Freedom and independence in decision-making
What distinguishes chain hotels from independent hotels in terms of ownership and affiliation?
Chain hotels establish a minimum set of standards and regulations
What is a disadvantage of an independent hotel compared to a chain hotel?
Access to central purchasing, marketing, and advertising
What do chain hotels focus on solely in terms of central functions according to the text?
Central purchasing, marketing, and advertising
What is the primary drawback for a single property or independent hotel?
Dependency on another hotel's management expertise
What is the main distinguishing factor between independent hotels and chain hotels mentioned in the text?
Control over individual property based on centralized organization
What is a primary consideration for smaller hotels in attaining a higher classification?
The lack of a feature like an elevator
How does the arrangement in a management contract resemble the partnership between an employer group and the owner of an employee cafeteria?
It involves managing business operations for a fee
What is an alternative for the owner to structure the connection with the operator if unwilling to take on operational responsibility for the hotel?
Management agreement
What is a disadvantage of smaller hotels in relation to their level of comfort and attaining a higher classification?
Lack of certain features like an elevator
In what way does the operator manage the business operations on behalf of the owner in a management contract?
For a fee in exchange for services provided
What is a primary purpose of purchasing franchise licenses for hotel properties?
To reduce investment risks and increase competitiveness
What structure was chosen to simplify reality in hotel connections?
Tripartite structure
Why might finding statistical information on the connections between hotel owners and operators be difficult?
'Statistical information is not widely available or easily accessible.'
What is the primary difference between management contracts and lease contracts?
'Management contracts involve an operator managing business operations for a fee, while lease contracts involve the transfer of operational responsibility.'
Explore the differences between independent hotels and chain hotels in terms of ownership, management, affiliation, rules, practices, marketing, and financial aspects. Learn about the categorization of hotel properties based on affiliation and ownership.
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