ASSIGNMENT Question 3: A number of factors affecting the price sensitivity are discussed in this chapter Provide some examples of the application of this factors in the hospitality or travel business ANSWER There are two main factors considered when setting the price Internal factors a Marketing objectives: A hotel have their marketing objective is market share When they provide new spa services the price will be low in order to attract customers The price will become higher as the product becomes more famous and more demanded by the target market However, for the existing products, hotels may use price decisions to ensure they retain market share in instances where there are a lot of market competitors b Marketing strategy: In a hotel The marketer selling high-quality rooms would be expected to price their rooms in a range that will add to the perception of the room being at a high – level c Costs: In restaurant A, costs to produce and deliver a dish to customers (price for the material, chef, waiter…) is $50 And the price of this dish that the guest pays must be above this costs (must be above $50) So the restaurant can set the price of this dish is $100 (if they want to have $50 profit) d Organizational consideration: Hoa Mai hotel is one-star hotel The hotel has 15 rooms And the owner of this hotel is Mr.Hoang, he doesn’t have any housekeeper, all jobs to help the hotel work are done by him and his family members So the price of rooms in this hotel is set by him External factors a Nature of the market and demand: In 2008, the economic depression happened and demand for tourism decreased So the demand for hotel service decreased too The demand was more than supply The owners of the hotels had to set the low price to attract tourists and suit with tourist’s payment ability b Pricing in different markets: In the recent time, the number of tourists Xuân Mai province increase rapidly The demand of hotel is increasing But there is only one hotel in this area (pure monopoly market), this is Daisy hotel So they can set the price as they want (maybe it is really high) c Consumer perception of price and value: Restaurant A is considered the finest restaurant in this area (it is an elegant restaurant) With the item: a coffee and a slice of apple pie It is charged $2 at a drugstore counter, $3 at a family restaurant, $4 at a hotel coffee shop and $8 at restaurant A (because A is an elegant restaurant and it is the finest restaurant in this area) d Analyzing the price demand relationship: Hotel A have done a research and it shows that a 20% reduction in the price of a standard room increases demand by 35 % A 10% reduction in price increases by 23% Whereas a 5% decrease results in a 15% increase in demand The hotel thinks that decrease 5% in the price of a standard room will get the most revenue for them So they decide to decrease 5% in price And maybe after a short time, they can reduce 5% in the price the second time e Price elasticity of demand: After a marketing research, a travel agent finds that if the price of a tour decreases by 10%, the demand for this tour will rise by greater than 10% From that research, the price elasticity of demand is high, and the travel agent decides to decrease a little bit the price of the tour to sell more tour f Competitor’s price and offers: A travel agent intend to sell a tour And now in the market have others travel agent sell the same tour After a research, the travel agent has known the price of this tour in the others is million So the travel agent can’t set their price up to million (with the same services in this tour) They must set the price a little bit higher or lower than million ĐỀ 1B: A product’s ……… - the way the product is defined by consumers on important attributes- the place the product occupies in consumers’ minds relative to competing products a Segmentation c target market b Position d differentiation strategy Đáp án B The study of changes in world population , residents move each year and age distribution is known as: a Geo-demographics c …… b Society d Demographic Đáp án A “Relatively permanent and ordered divisions in a society whose members share similar values, interests, and behaviours’’ are definition of: a Personality c lifestyle b Social classes d learning Đáp án B “A person’s pattern of living as expressed in his or her acivities, interests and opinions” are definition of: a Personality c lifestyle b Social classes d learning Đáp án C “A person’s distinguishing psychological characteristics that lead to relatively consistent and lasting reponses to his or her environment” are definition of: a Personality c lifestyle b Social classes d learning Đáp án A In the Buyer Decision Process, the third stage is: a Purchase decision c Post-purchase behaviour b Evaluation of choices d Information search Đáp án B In Marketing the 4P’s are known as the: a Mar plan c Mar-mix b Mar segmentation d Mar strategy Đáp án C Mar oriented defined it’s mission statement in terms of: a Products it produces b It’s past history and business successes c Ways …… d Opportunities arising from changing customers ’needs Đáp án D In the Organizational Buying Process, the final stage is: a Evaluation of Choices c Performance review b Post-purchase behaviour d Supplier selection Đáp án C 10 A company might select a target market because: a The target market is fully understood by the company’s sales force b.The target is very small and suitable c The target market is attracting to the……………… Đáp án C Đề 1A Đề 1B Đề 1C Đề 1D C B B C D A C C A B D B B C C A C A C B A B B C B C A A C D B B C C C C B C A D Assignment Question (page 296): Identify a restaurant or hotel market segment in your community that you feel would be a good market segment to target Explain the marketing mix you would put together to go after this market segment I Identify a restaurant market segment A local restaurant market segment that I think it would be good market segment to target in my community is Vegetarian Restaurant – Reasonable price Explain: Have some reasons let me think like that My community • Is a town It is not too big and not too small, it’s medium size • Income of people in my town is a little bit high Demand • People are more and more care about health issues, and almost all of them think following a diet vegetarians or some days in a week or a month is very good for their health Competitor • As my research, now, don’t have any vegetarian restaurant in my hometown If people want to eat vegetarian food, they must buy and cook by themselves, it takes a lot of time  Conclusion: Vegetarian restaurant is a very good restaurant market segment in my community Because it has enough factors to develop and get success: Having demand, suitable with affordability, niche market II Marketing mix (4P) Product - Vegetarian dishes - Beautifully decorated, attractive colors (green) Price - Firstly, low price strategy to get the market share and attract the medium income people Place - Selling vegetarian dishes in the restaurant Located in the town center Promotion - An effective way to market to this segment in the local area would be billboards - Advertisment: hanging banners, billboard along the road - Set up a FanPage in Facebook - Celebrating the Opening ceremony with many promotions for customers Question (page 296): Think about your classmates in this course Can you classify them into different segments with specific names? What is your major segmentation variable? Could you effectively market products to these segments? Classify my classmates into two main segments I will divide my classmates into segments according to some characteristics Segment Weight Segment Want to lose weight Don’t care much about weight Habit Often eat out Usually eat at home Care Care about the health issues Don’t care much about the health issues Like to eat vegetarian Don’t like or cant eat the vegetarian Attitude towards vegetarian My major segmentation variable is segment Because my product are the vegetarian dishes, it goods for health, skin So my major segmentation variables is Segment They are the people who: - Care about the health issues, - Like to eat vegetarian, - See the link between the health and vegetarian, - Especially they want to lose weight, - And they are usually eat out Effectively market products to these segments For my major segmentation, I can effectively market products to them by: - Advertising focus on the helthy of food - Sell the product at the middle price - Using “green” as the primary colour - Using multiple distribution chanel (facebook, website, Tv, radio, newspaper… ) - Can sell take – away foods Assignment Question (page 376): Discuss the possible ways that marketing techniques can be used to by human resources managers Employee satisfaction and customer satisfaction are linked To have a good customer service, good products to their customers they need good employees So the human resources managers can use some marketing techniques to attract and have good employees in their company Especially in the hotel, employees are very important in delivering hotel’s products to the customer There are some marketing techniques that can be used by human resources management To create jobs that attract good people HR managers must use the principle of marketing to attract and retain employees They must research and develop an understanding of their emloyees’ needs, just as they examine the needs of customers a Using the marketing researching techniques to segment the employee market, choosing the best segments for the firm and developing a marketing mix to attract those segments For employees, the marketing mix is the job, pay, benefits, location, transportation, parking, hours, and intangible rewards, such as prestige and perceived advancement opportunities b Advertising: should be developed with prospective employees in mind, building a positive image of the firm for present and future employees and customers In hiring process – searching and providing the information – training program a Interview: before interviewing the human resources manager need to know what they need at their employees During interview providing job conditions to the candidates to help them understand more clearly what they need to in this position, and what they will be received from this position b Hiring: in the hiring time, setting up the training program to train the employee’s skills and attitude Teamwork Teamwork can create a comfortable environment to the guest Because of in a company, if one employee makes an error other employees try to cover it before the guest notices Uniform Human resources often look for uniforms that represent the property to enhancing the image of the organization and to make sure that the employees feel comfortable when they wear it Techniques to manage the emotional labor The human resources need to manage the emotional labor on a day – to – day basis Some common techniques used to manage emotional labor include mornitoring overtime and avoiding double shifts, work breaks and support from the workers and managers 6 Look – listen – solve the respondents of the employees Managers should look for the problem that their employees have in the job Listen to the respondents from them to know how to make a comfortable to their employees and customers Technology and training Using technique and training to provide employees product knowledge Technology can be used to develop a database Information can be readily accessible to employees, who should then be trained in the hotel’s products and services Implement of a reward and recognition system Employees must know how they are doing to perform effectively Communication must be designed to give them feedback on their performance An internal marketing program includes service standards and methods of measuring how well the organization on meeting these standards The results of any service measurement should be communicated to employees ASSIGNMENT Question 2: Why large hotels spend a major part of their promotional budget on personal selling? Question 3: Recently, a number of restaurants have shifted some their promotional budget from advertising to public relation What benefits does public relation offer that would make the restaurants spend more ANSWER Question 2: There are two main reasons that make the large hotels spend a major part of their promotion buget The first, large hotels have a strong resource (financial) so they have ability to invest much money of their promotional budget on personal selling The second, benefits and effectiveness of personal selling bring to the hotel is better than others promotion tools Personal selling is promotional presentation by the firm’s sales force conducted on a person-to-person basis with the buuyer for the purpose of making sales and building customer relationships This is a direct form of promotion may be conducted face-to-face, over the telephone, through videoconferencing, or through interactive computer links between the buyer and seller This direct contact with the customer gives the salesperson the opportunity to be flexible and modify the sales message to coincide with the customer’s needs The salesperson can get immediate feedback from the customer From that personal selling builds personal relationships, keeps the customers’ interests at heart to buil a long term relationships and allows personal interactions with customers The third reason is because the cost of this tool is expensive promotion tool per contact So if the hotel choose this tool to promotion, they have to spend a major part of their promotion budget on personal selling Question 3: There are five main benefits of public relation (PR) These are important benefits that make the restaurants spend more budget promotion from advertising Credibility Let’s face it– consumers today are more cautious when spending That’s why having credibility is so essential to a successful business Because PR and advertising are very different things, consumers are likely to give credibility to your business when they see it mentioned in the media (uncompensated!) compared to when they see your ads or billboards Studies show that PR has times more credibility among consumers than advertising! Target Market With PR, it’s much easier to aim and fire on that target market you are hoping to reach Media sources can place the information that is right up the consumers alley and give them the required information they need If you are an accountant hoping to generate some new clientele, placing an ad in a teen magazine likely won’t help you But a well written article smack dab in the middle of the finance section will probably lead you right where you want to be These target markets are especially vital in businesses that only appeal to a small target market Cost While it’s true that PR can be costly if you hire the wrong firm, considering the cost of other promotional advertising, it is on the cheap end of the scale When you step back and look at the cost of PR considering the possible leads when reaching the right market, you’ll find that the cost is very beneficial Lead Generation The media placement that you receive from PR is long lasting You’ll likely have an initial flood of leads, and then as time wheres on, you’ll notice that there is still the possibility of lead generation from just one good media mention As people and businesses stumble on the PR, it will still be effective at generating leads (thus leading back to our #3 point: cost) Image PR isn’t just promoting an item or a special PR takes your entire business and puts it in the lights This helps create an image of your company and creates the possibility of a more well rounded patronage Effective PR leaves your company with a positive image, which is always helpful in the future  ... differentiation strategy Đáp án B The study of changes in world population , residents move each year and age distribution is known as: a Geo-demographics c …… b Society d Demographic Đáp án A “Relatively... classes d learning Đáp án A In the Buyer Decision Process, the third stage is: a Purchase decision c Post-purchase behaviour b Evaluation of choices d Information search Đáp án B In Marketing the... learning Đáp án B “A person’s pattern of living as expressed in his or her acivities, interests and opinions” are definition of: a Personality c lifestyle b Social classes d learning Đáp án C “A