In an Industry Where Guests Are Tired of Cookie-Cutter Hotels,some

question 158

Multiple Choice

In an industry where guests are tired of cookie-cutter hotels,some consumers are looking for personalized service,which can be found in boutique hotels.Boutique hotels cater to their guests' sense of their personal image as being discriminating,more sophisticated,and more hip.Frequently,these guests don't want to be where the crowds are.This is a small but growing market niche.There are no generally recognized rules for boutique hotels,but they tend to be small and service oriented,with high-style decor and top-notch restaurants.Employees are called cast members.Amenities include cordless phones,DVD players,Aveda brand bath and hair products,and down comforters and pillows.
-Refer to Boutique Hotels.When a guest asks an employee for directions to a local gallery or museum,the service received cannot be stored or warehoused.How is this service therefore characterized?

• A)as perishable
• B)as intangible
• C)as unstable
• D)as homogeneous

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Definitions:

Present Value

Today's monetary equivalent of a future amount of money or cash flow sequences, using a specified rate of return.

Discount Rate

In the realm of discounted cash flow analysis, this interest rate is used to calculate the present value of expected future cash flows.

Payments

The process of transferring money in exchange for goods or services or as fulfillment of obligations.

Years

A unit of time equal to 365 days (or 366 in a leap year), used to measure duration or age.