A hotel in Orlando, Florida, experiences peak periods and slower times. How should prices be adjusted during peak periods? During slow times? Why? 

 

 Clark Manufacturing offers two product lines, IN2 and EL5. The demand of the IN2 product line is inelastic, while the demand of the EL5 product line is very elastic. If Clark initiates a price increase for both product lines, how will customer demand change? How will the price increase affect operating profits? 

 

 What advice would you give a company to avoid the appearance of predatory pricing? 

 

 

Answer rating: 100% (QA)

1 Hotel Pricing during Peak and Slow Periods During peak periods when demand for hotel rooms is high it is generally advisable to increase prices This is because customers are willing to pay more due ... View the full answer