Running Head: PART I AND II 1

Part I and II

Name

Institution

Date
PART I AND II 2

Part I and II

Part I

Many other restaurants have also closed to arrivals. Examples are Kayak and the masa

restaurant. They indicate that some days in march will be closed to arrivals meaning guests are

not allowed to book or arrive at the facilities. The reason these restaurants close to visitors is that

they anticipate that at that time, the facilities will be fully occupied. Thus, slots will not be

available. Also, the facilities could be carrying maintenance.

However, guests can book before and continue with their stay even on days when the

facilities are closed to arrivals. In terms of price, the Westgate Las Vegas Resort offers the

lowest rates of $107, while the Harrah’s Hotel in Las Vegas has the highest rating of $263. The

reason for the differences in pricing is the location of the restaurant, seasons, and events. For

instance, Las Vegas holds typically high-profile events that attract many people meaning that

these facilities receive many requests for bookings.

The prices are fixed competitively with a view of making profits that come with the

season. Also, the summer has many events meanings that hotels can expect many people who

will attend. The hotels belong to different classes. Five-star hotels have high ratings compared to

those below this level. Hotels want to make profits at all times (Hung, Shang, & Wang, 2010).

That is why they pounce at the slightest opportunity to fix prices that will help them make

profits.

Give the competitive nature of the hotel industry; the players strategize in a way that will

be given them an edge over their main rivals. That is why most of the time, we have differences

in prices depending on the season and location.

PART I AND II 3

Part II

Price, product quality, and service are the most significant determinants of value. Both

scenarios A and B present classic cases that can be used to determine value (Hung, Shang, &

Wang, 2010). If I were purchasing lunch that I will take in ten minutes, I would expect the cost

to be the promptness with which my request is attended to, the quality of the meal as its

packages, as well as the level of professionalism they display. Given the urgency of the purchase

order, I expect to serve me promptly once it is made. I also expect the price to be friendly.

For scenario B, I would expect the atmosphere to fit that or of a romantic dinner. Tasty

meals, professionalism, affordable price, and excellent should define the value I get from the

restaurant. It should tick all boxes for them to convince me to come back for another treat. These

explanations imply that cost is not constant as it morphs depending on the situation.

My response implies that restaurants must be ready to match the expectations of their

customers. The hotel industry is very competitive, meaning that patronage can swing to either

side at any time. Thus, they have to be alive to the customer needs and device ways of meeting

them consistently. That’s is the only they can be guaranteed long-term patronage.

If I were to eat at Masa Sushi for $400, I would attach value to the quality of the meals,

prices as well as the level of professionalism displayed by the staff. I aim to have a good time

them; thus, I anticipate that they will tick these boxes as a way of justifying their price tags.
PART I AND II 4

References

Hung, W. T., Shang, J. K., & Wang, F. C. (2010). Pricing determinants in the hotel industry:

Quantile regression analysis. International Journal of Hospitality Management, 29(3),

378-384.