Which of the following represents an aggressive approach to demand management in the service sector when demand and capacity are not particularly well matched?
A) lower resort hotel room prices on Wednesdays
B) appointments
C) reservations
D) first-come, first-served rule
E) none of these

Question

Quizplus · Accepted Answer

Lowering resort hotel room prices on Wednesdays is an aggressive approach to demand management because it is an attempt to stimulate demand on a specific day when it is typically low, in order to fill up the excess capacity. It is a pricing strategy that aims to attract customers who would otherwise not consider staying overnight on a weekday. Appointments and reservations are more passive approaches to demand management because they rely on customers to plan ahead and book in advance. The first-come, first-served rule is also a passive approach, as it does not actively encourage or discourage demand.

Which of the Following Represents an Aggressive Approach to Demand