TABLE 12-7 Data on the Percentage of 200 Hotels in Each of Each

question 29

True/False

TABLE 12-7
Data on the percentage of 200 hotels in each of the three large cities across the world on whether minibar charges are correctly posted at checkout are given below.

At the 0.05 level of significance, you want to know if there is evidence of a difference in the proportion of hotels that correctly post minibar charges among the three cities.
-Referring to Table 12-7, the decision made suggests that the 3 cities all have different proportions of hotels that correctly post minibar charges.

---

Definitions:

Inelastic Product

A product or service whose demand does not significantly change with variations in its price.

Substitutes

Products or services that can be used in place of another to satisfy consumer needs or desires.

Skimming Strategy

A pricing approach where a high price is set for a new product to maximize profits from customers willing to pay high prices before lowering the price over time.

Penetration Pricing

A pricing strategy where a product is introduced to the market at a very low price to stimulate demand and gain market share quickly.