Question: Some GMs measure their own effectiveness using primarily ADR, while others prefer to evaluate their effectiveness by the occupancy rate generated. More recently, RevPAR (see

Some GMs measure their own effectiveness using primarily ADR, while others prefer to evaluate their effectiveness by the occupancy rate generated. More recently, RevPAR (see Chapter 3 ) has become the standard by which the effectiveness of a hotel’s management team is evaluated. Describe at least one strength and one weakness of each of these approaches. Are all three measures still useful? Would you, as a GM, use RevPAR as your exclusive measure of effectiveness? Why or why not?

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