Assume that you manage a 300—room hotel. Your local university football team is playing a home game on Saturday, and the demand for rooms far exceeds supply. Your no—show rate on reservations for the past three football games has been 8, 12, and 9 percent, respectively. Currently, you have 100 nonreserved rooms. How would you answer the following questions?
1. How many room reservation contracts are you willing to accept?
2. Should you require that all reservations be confirmed?
3. What factors will you consider when making your decision? What strategies will you employ to reduce no shows?
4. You and your family are traveling out of state to attend one of your school team's away football games. Upon arrival, the hotel where you have a confirmed reservation denies you a room because it has none available. What do you think the hotel should do for you?
5. What if no other rooms were available within a 50—mile radius of the hotel you originally booked?
Please answer with two to three sentences for each question.