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The case study review must be typed using presentation tools (e.g., Power Point, Prezi, and etc) and include your name, the name of the assignment, the class, and the date. You need to answer the four questions below in the box. You can use 3-6 slides for Part I and 2-3 slides per each question in the Part II so a total of your slide will be between 9-15.


Pricing Strategies: Part I (20 points)

You have just been hired as the corporate account manager at a brand hotel. The manager asks you to evaluate the prices of corporate accounts that the hotel has to see if they need to be adjusted. How would you go about this task?


Pricing Strategies: Part II (30 points)

Case Study 19. Pricing Almost Destroys and Then Saves a Local Restaurant


Please read the case study 19 (p. 629-630) and answer the questions below.

  1. Why was Mr. Herrera reluctant to raise his prices? How did these low prices almost destroy the business?
  2. Using this case as an example, explain how the concepts of demand, price, and profits are interrelated and why was the revenue (Yield) management important for the Mexicatessan restaurant?
  3. In addition to revenue management, are there other pricing strategies that this restaurant can consider? If yes, discuss what those are. If no, support your idea.


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