Ch3 Lodging Flashcards
A concept that allows a company to quickly expand by using other people’s money rather than its own financing.
Franchising
Named because of its original cost of a room at $6 a night
Motel 6
Factors that propel franchise growth
fresh looks, location, expansion in smaller cities through the US, new markets and foreign expansion
Benefits of franchising for the franchise company
increased market share and recognition, up-front fees
Drawbacks of franchising for the franchise company
need to be careful in the selection of franchisees and difficulty maintaining control of standards
Allows for a hotel company to manage the property for a period of 5, 10 or 20 years
Management Contract
Enjoy a high occupancy because of large number of travelers arriving and departing from major transportation hubs
airport hotels
gained prominence in the 1950s and 1960s in the United States
Freeway/Interstate Hotels and Motels
They make more money from gaming than from the guest rooms
Casino Hotels
Have meeting space and banquet areas within and around the hotel complex
Conference and Convention Hotels
Properties like Travelodge, Motel 6, Days Inn and La Quinta are categorized as this
Economy/Budget Hotels
Embassy Suites, Residence Inns and Homewood Suites are market leaders in this type of property
All-Suite Extended-Stay
Worldwide peer-to-peer marketplace and homestay network that enables people to list and rent short-term lodging in residential properties
Airbnb
Used to be called timeshare
Vacation Ownership
These are two of the highest quality chain hotels
Four Seasons and the Ritz-Carlton
