Questions and Answers
What is not a characteristic of a hotel airport?
All of the following are benefits of a city center hotel EXCEPT?
Franchising hotels was begun in 1907 by?
The Ritz Company
City center, resort, airport, and freeway are all examples of hotels being classified by?
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The fastest growing segment of the travel industry is?
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As the hotel industry matures, corporations are either acquiring or merging with each other. This process is known as?
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Marriott builds a hotel for $34 million and sells it to a banking firm for $52 million. Marriott charges the banking firm 2-4% of gross revenues to operate the hotel. This business transaction is known as?
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The Greenbrier, the Halekulani, and the Ritz Carlton Kapalua are all examples of?
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Mixed-use hotel development indicates that?
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Casino hotels are marketing themselves as business hotels.
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An organization that rates and classifies hotels and awards them Diamonds is the?
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The benefits of franchising include all of the following EXCEPT?
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Examples of hotel level of service classification include?
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Examples of hotel price classification include?
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In this type of 'ownership' investors do not pay corporate income tax, however they distribute the majority of net income to shareholders, and are publicly traded?
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In franchising, the franchisee is granted rights to?
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Hotels may be classified by?
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In order to determine if a hotel development project would likely succeed, we would perform a(n)?
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Hotels and motels that are part of a ________ share a centralized reservation system and a common image, logo, or advertising slogan.
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Franchising fees vary according to the agreements between franchisee and franchisor, but the usual fees are between _____ of room revenue.
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Airport hotels typically range from?
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Franchising is?
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Purchasing the right to use a company's trademark and copyrighted materials is known as?
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Lack of operational power, high fees, and low percentage of reservations from the central reservation system are all ________ of franchising.
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Examples of hotel location include?
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Corporations that operate a hotel without capital outlay in exchange for a percentage of gross sales are known as?
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Study Notes
Hotel Types and Classifications
- Airport hotels focus on budget offerings and typically comprise 200-600 rooms with full service.
- City center hotels often fall within the luxury price segment, but this may not be a benefit due to high room prices.
- Resorts, like The Greenbrier and Ritz Carlton Kapalua, are classified under specific location types.
- Mixed-use hotel developments may include residences alongside traditional hotel accommodations.
- Casino hotels are rebranding themselves as business hotels to attract corporate clientele.
Franchising and Management
- The Ritz Company pioneered hotel franchising in 1907, allowing brands to expand using franchisee capital.
- Franchisee rights include use of trademarks, operating procedures, and business guidelines.
- Fee structures for franchising typically range from 3-4% of room revenue, varying based on agreements.
- High fees and lack of operational control are noted drawbacks of franchising.
Consolidation and Market Trends
- The hotel industry is experiencing consolidation, with corporations acquiring or merging to enhance market presence.
- Vacation ownership is identified as the fastest-growing segment within the travel industry.
- Feasibility studies are crucial for determining the success potential of new hotel development projects.
Rating and Classification Organizations
- The American Automobile Association (AAA) is known for its hotel rating system, awarding Diamonds to classified hotels.
- Hotels are categorized by location (city, resort, airport, freeway), service level (full service, mid-scale, etc.), and price classifications (luxury, budget, economy).
Investment Structures in Hospitality
- Real estate investment trusts (REITs) allow investors to avoid corporate income tax while distributing net income to shareholders.
- Management companies operate hotels without significant capital outlay, receiving a percentage of gross sales for their services.
Referral Systems and Associations
- Referral associations enable hotels to share centralized reservation systems, common logos, and marketing strategies, enhancing brand visibility.
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Description
Test your knowledge of hotel classifications, benefits, and history with these flashcards. Each card presents a question related to the hospitality industry, challenging your understanding of various hotel types and their characteristics. Perfect for students in hotel management courses!
