An empty hotel room brings in no revenue.Then why wouldn't a hotel manager at a luxury hotel or resort offer a very low,last-minute rate for an unfilled room?
A)it would reduce the manager's bonus which is based on total revenue
B)it would result in a price war with similar hotels or resorts
C)it is likely the person getting the discount rate will cancel
D)to avoid "cheapening" the reputation of the luxury hotel

Question

Quizplus · Accepted Answer

Offering very low rates can damage the perceived value and exclusivity of a luxury hotel, potentially harming its brand and reputation.

An Empty Hotel Room Brings in No Revenue