Hospitality Management Chapter 6 through 14
8. List two approaches for lowering healthcare costs.
(1) Develop alternative arrangements for those patients needing less intensive care. (2) Consolidate food production facilities.
Some consumer issues today in the restaurant industry are:
1. health, nutrition, diet and health; junk food; labeling; truth in dining; food safety and sanitation; alcohol abuse
14. The strategy of pricing products lower is called a) project gold. b) value pricing. c) competitive pricing. d) couponing.
B
15. Customers, it is true, like price reductions, a) but it has been shown that reductions are viewed as lowering quality. b) but they must result in increased sales volume to be successful. c) and it is a sound strategy to offer discounts on an on-going basis. d) but temporary price reductions usually erode sales.
B
11. Which of the following is defined as an establishment where high traffic is likely to offer potential high volume sales? a) Point of distribution b) Contract company c) Host d) Market niche
C
6. Consumerism can be defined as
Consumerism is, first of all, a social movement. It is a movement by which society, through representative groups and individuals, seeks social change. Consumerism has as its specific objective to achieve a balance of power between buyers and sellers. It is an effort to equalize the rights of buyers with the rights of sellers.
5. What is dietary schizophrenia?
Consumers are concerned about their health—and about pleasing themselves. Sometimes they act on their concerns—and sometimes on their need for pleasure.
11. What are the two kinds of business travelers?
Corporate travelers and association travelers
7. The stages in the restaurant concept life cycle are:
First generation: concept development, expansion, maturity; evolutionary period: concept redevelopment, rejuvenation; second generation: expansion, maturity.
1. What does "on-site food service sector" refer to? Give some examples.
It consists of all locations where food is served outside of the home but where food service is not the primary business. Examples may vary.
What is the key to success for independent restaurants in terms of the competitive landscape?
Success appears to having a very distinct way of differentiating themselves from their competitors.
14. Name two major types of hotel rating systems in North America and their conducting organizations.
The Forbes Travel Guide offers a one-star to five-star rating system. The American Automobile Association (AAA) rates lodging properties based on a system of one to five diamonds.
8. The legislation that affects nutrition labeling is ...In the restaurant industry it legislates
The Nutrition Labeling and Education ACT (NLEA); it legislates only the menu listings which make nutrient or health claims.
The distinction between hotels and motels used to be clear. Why is that not the case today?
The basic distinction between hotels and motels has become more complex as different types of lodging properties have emerged.
4. The four elements of the marketing mix are:
The four "P's": the product, the product's price, the place (and places) in which it is offered, and promotion of the product.
11. The difference between the "host" and the "venue" when discussing PODs is
The host is an establishment such as a shopping mall or large retail store that has high traffic volume and the host offers a location (the "venue") to a food service operator, usually a chain, and the "POD" is usually a downsized restaurant unit.
In general terms, how has competition in food service changed in the last 60 years?
The nature of the competition has changed from the growth of new chain concepts in a rapidly expanding market—roughly from the mid-1950s to the early 1980s—to a time today when established food service giants struggle with each other over a much more slowly growing market.
15. Briefly describe how C stores compete with restaurants:
They compete for the snack market as well as for meals and are directly competitive with food service, especially for beverages and sandwiches.
11. The major difference between "all-suite" rooms and traditional hotel rooms is a) room size. b) room rate. c) services. d) a kitchen.
a
12. In nutritional labeling, you must not use the following terms carelessly on your menu: a) lean/extra lean; free; reduced. b) made on premise; home-made. c) full-flavored; delicious; attractive. d) inexpensive source of; cheap.
a
12. The highest percentage (52%) of travelers are a) leisure travelers. b) transient business people. c) association travelers. d) conference attendants
a
A limited service hotel a) typically offers guest rooms only. b) offers a wide range of facilities and amenities. c) features unique décor and furnishings. d) usually provides concierge service
a
When a patron who is not staying in a hotel wants to charge her meal at the hotel's restaurant to her hotel charge account, the transaction is posted in the a) city ledger. b) house ledger. c) restaurant ledger. d) general ledger.
a
13. The two common forms of paid promotional activities in the restaurant industry are:
advertising and sales promotion
1. Health, diet, nutrition and exercise as issues in food service a) are growing in importance to consumers. b) are important to consumers but seem to be a little less important in the 1990s. c) are unimportant to most consumers. d) have meant that consumers are more interested in these than in the taste of food.
b
For cultural reasons, the destination people would travel to is the a) West Edmonton Mall. b) Smithsonian Museum. c) Mayo Clinic. d) Super Bowl
b
1. Motels were built after World War II because of the a) housing shortage. b) hotel shortage. c) huge growth in auto ownership and its effect on travel. d) huge growth in travel by the baby boomers.
c
22. The method of delivering food service that makes food available where full food service operators are not economically feasible is called: a) institutional food service. b) contract company food service. c) vending. d) self-service.
c
One of the causes of Las Vegas' continued success is a) proximity to natural attractions. b) the number of hotels. c) its ability to offer the "entire package." d) lack of gaming options nationally.
c
1. In on-site food service, success is measured by a) sales volume. b) advertising budgets. c) menu diversity. d) the participation rate of the guests.
d
18. The following is not an element in the school food service model: a) providing nutritious meals to needy children. b) pooling of subsidies. c) high volume. d) providing special diets for special needs.
d
19. A relatively new area for contract management companies is a) vending. b) retailing. c) recreation. d) elder care.
d
22. Accommodations in private homes are known as a) inns. b) personal facilities. c) homes-away-from-home. d) bed and breakfasts.
d
8. Junk food a) is a good description of fast food. b) is a problem that naturally goes with vending. c) will be eliminated by nutritional labeling. d) is a problem of American dietary habits.
d
Which is not an example of out-of-the-ordinary destination? a) The Spy Trail in London. b) The Ice Hotel in Quebec. c) The International UFO Museum in Roswell, New Mexico. d) Rainforest in Brazil.
d
11. The three ideal solutions to deal with the waste stream are
reduce, reuse, and recycle
12. The problems of recycling trash in a restaurant are:
requires considerable effort—sorting, providing space for bins, persuading customers to do the sorting; "training" the customer in how to sort; providing compartmentalized dumpsters and trucking it away
11. Describe some of the reasons that an institution may want to outsource its food service:
so they can focus on their core business, to have it run by food service specialists, to share the burden and the costs
12. The concept of life cycle is another way of saying that a) once a concept reaches its peak sales, it's all downhill. b) sales during the expansion period are greater than during maturity. c) that concepts need to be periodically redeveloped or replaced. d) concept blur is here to stay.
C
The destination which is not an example of a primary tourist destination is a) Dollywood. b) the Grand Canyon. c) Las Vegas. d) Disney World.
a
The destinations cited in the text as country music destinations were a) Nashville and Branson. b) Branson and New Orleans. c) New Orleans and Baltimore. d) Boston and San Antonio.
a
The essence of lodging finance is that lodging a) is capital intensive and cyclical. b) is stable over time and costly, but profitable. c) closely follows economic swings. d) demand and building coincide.
a
13. Transient business people a) usually travel in a group. b) are typical male at the age between 35 and 54. c) are commuting between home and office every day. d) usually do not make reservations.
b
5. Consumerism a) does not affect marketing and advertising. b) is a reaction to companies' emphasis on selling a product. c) is a reaction against consumer needs and expectations. d) begins with the company's product and how to sell it.
b
The demand for hotel rooms changes direction a) at the same time that the economy does. b) three to six months after the economy does. c) one to two years after the economy does. d) three to six months before the economy does.
b
10. Branding a) is considered a "price" characteristic. b) is used less today than in the past. c) is sometimes used to incorporate a manufacturer's name into a restaurant product. d) is not considered part of the marketing mix.
c
30. The newest medium used to advertise restaurants is a) television. b) radio. c) the Internet. d) newspapers.
c
The percentage of restaurant sales attributed to tourism is a) 5% b) 10% c) 25% d) 40
c
In upper upscale hotels, the person who provides guest information is the a) travel agent. b) valet. c) bell captain. d) concierge.
d
The most difficult differentiating service to copy in hotels is a) fitness centers. b) concierge services. c) personal amenities. d) food service.
d
5. Define "new-to-world" and "new-to-chain" products:
"New-to-world" are those that have not been served in a commercial operation while "new-to-chain" products are imitations of products offered by another operato
14. Common sales promotion activities in the restaurant industry are
"deals" which include coupons, games and promotional merchandise
What areas of the world are experiencing the highest growth in the number of hotels?
Asia and the Middle East.
4. List the five recommendations for attaining optimal health.
1) Achieve energy balance and a healthy weight. 2) Limit energy intake from total fats and shift fat consumption away from saturated fats to unsaturated fats. 3) Increase consumption of fruit and vegetables, as well as legumes, whole grains, and nuts. 4) Limit the intake of sugars. 5) Increase physical activity—at least 30 minutes of regular, moderate-intensity activity on most days.
14. Examples of technology used in the back of restaurants are:
1) Food production-equipment to enhance energy efficiency 2) Refrigeration and chill systems to improve productivity and schedule flexibility. 3) Refrigerated drawers to place refrigerated food right under work stations. 4) Smart kitchen that connects multiple pieces of equipments.
10. List the four elements of the school food service model:
1) It meets defined social needs; 2) it pools subsidies; 3) it attracts a high volume of attendants; and 4) local administration
9. List the guidelines restaurateurs must follow in making health claims on menus.
Fiber-containing fruits, vegetables, and grains in relation to cancer-prevention claims; Fruits and vegetables in relation to cancer-prevention claims; Fiber-containing fruits, vegetables, and grains in relation to heart disease-prevention claims; Fat in relation to cancer; Saturated fat and cholesterol in relation to heart disease; Sodium in relation to high blood pressure (hypertension); Calcium in relation to osteoporosis; Folate and neural-tube defects; Dietary sugar alcohol and dental caries; Soluble fiber from certain foods; Coronary heart disease and soy protein
10. What are the three types of hotels categorized by price?
1) limited-service hotels; 2) full-service hotels; 3) luxury hotels
22. Advertising includes a) television ads. b) couponing. c) deals. d) games.
a
29. When we speak of "places" as a part of the concept of "place," we refer to a) distribution of products more widely. b) chain operation. c) analyzing population density. d) downscaled units.
a
3. A trend in on-site food service is a) the use of national brands. b) consolidation of accounts. c) an increasing number of self-ops. d) less profit orientation.
a
7. The term "product" in the restaurant setting includes a) the total guest experience. b) the quality of the food. c) the ambience. d) the service of the food
a
A REIT a) raises money by issuing stock. b) usually increases the cost of borrowing funds. c) is unpopular because returns are below average. d) raises money through leveraged financing.
a
The major source of profit in hotels is, in most cases, from a) room sales. b) food sales. c) beverage sales. d) meeting and banquet sales.
a
9. A program in which one person does not drink and is responsible for driving other people home is called a a) liability reduction program. b) designated driver program. c) driver reward program. d) bartender awareness program.
b
A "target" market is a) a type of advertising scheme. b) a specific guest segment and their needs. c) non-specific in nature. d) focused on guest services.
b
A large hotel with 500 or more guest rooms, extensive meeting and function space, and large ballrooms is a) a commercial hotel. b) a convention hotel. c) a motel. d) an executive conference center.
b
C Corps are a) hotel franchise companies. b) publicly held hotel companies. c) mutual funds. d) only available in the hotel industry.
b
Casino hosts a) approve markers. b) handle problems at the tables. c) supervise between two and five dealers. d) are change people.
b
Channels of distribution in the tourism industry a) are the layers of businesses between manufacturers and customer. b) include travel agents and tour operators. c) are the same as infrastructure. d) are insignificant
b
9. One feature of the school food service model is a) competition. b) fast food. c) pooled subsidies. d) board plans.
c
The following statement best reflects how gambling has changed over the last 10 to 20 years: a) There is a decreasing emphasis upon slot machines. b) Gambling is still limited to places like Las Vegas and Atlantic City. c) Gambling has become a part of living in the 1990s. d) There are not as many work opportunities for hospitality graduates in the gambling industry.
c
Besides economic impacts, tourism can also generate a) crowding. b) noise and odors. c) local pride. d) all of the above.
d
8. Match each type of operation with its description. (1) Motel ___ (2) Motor hotel ___ (3) Convention hotel ___ (4) Commercial hotel ___ (5) Health spa ___ (6) Vacation ownership ___ a. Combines a hotel's broad range of services with a motel's convenience to attract the auto travelers. b. Developed in response to the explosive growth in auto travel after World War II c. Small with 100 to 500 rooms. Close to business destinations and large city's entertainment centers. d. Large with 500 or more rooms. Offering extensive meeting and function space. e. A type of shared ownership in which the buyer purchases the right to use a residential dwelling unit for a portion of the year. f. Providing additional amenities focusing on needs ranging from losing weight to reducing stress to pampering oneself.
(1) b (2) a (3) d (4) c (5) f (6) e
10. Give three examples of locations where a downsized restaurant unit would be appropriate in your community:
Answers will vary. Examples given in the text are in retail stores, colleges, airports, manufacturing plants and theme parks.
9. How has the nonpatient side changed food service in this segment?
The nonpatient side of hospital food service has offered major opportunities for increasing sales.
19. Which type of travelers show the least seasonal travel pattern? a) family travelers b) senior travelers c) female travelers d) business travelers
b
The major security problems in a hotel are a) inadequate electronic locks and room safes. b) access to the hotels from the outside and stolen keys. c) safety of guests and their property, fire prevention and natural disaster contingencies. d) insecure hallways and public space.
c
A central reservation system a) is used by chains as a reservation service. b) cannot be used by franchised properties. c) is a new technology dependent upon the Internet. d) cannot be interfaced with a PMS.
a
A major change in hotel financing has been a) the growth of funds from public markets. b) capital from private investors. c) the lessened risk of hotel building. d) more money available from banks.
a
19. Currently, spending on advertising a) by the food service industry is low compared with other industries. b) should be part of a long term communications strategy. c) is higher as a percent of sales for table service restaurants than for QSRs. d) is ineffective because of the saturation of restaurants, and competition in the marketplace.
b
20. The best definition of a congregate meal program is that it a) provides free meals for the elderly. b) provides meals for elderly who can pay if they are able. c) is self supporting. d) is aimed principally at those who cannot pay for the meals.
b
3. The object of consumerism is to a) harass business people. b) raise consumer consciousness. c) raise money for consumer interest groups. d) reassure consumers about the validity of the market system.
b
32. Internet web sites for restaurants a) will probably be of limited use. b) can provide couponing, promotion, and display menus. c) are commonly a transaction vehicle. d) in the future will be strictly an advertising medium.
b
2. The American public's greatest concern is a) diet. b) nutrition. c) obesity. d) genetically modified foods.
c
In addition to the guest room, the "downstairs" guest is interested in a) an ultra high service level. b) a ground floor room with easy access to his or her car. c) food and beverage services and other amenities such as meeting rooms. d) special convention rates.
c
In contrast to traditional amusement parks, modern theme parks a) serve chiefly an educational function. b) do not feature rides. c) operate on a huge scale. d) are designed primarily for adults.
c
11. The position that is not likely to be found in a health care food service operation is that of a) clinical dietician. b) dietetic technician. c) dietary manager. d) nutrition therapist.
d
13. Requirements of nutritional labeling for menu items covered under law in restaurants a) is enforced by the FDA. b) make it necessary to do a nutrient analysis of each food in a menu item. c) is mandated by the CSPI. d) allow the restaurant to supply nutrient profiles on request.
d
A major factor that the U.S. has become an important international destination a) the increase in purchasing power of the American dollar. b) decreased interest rates. c) the strong American economy. d) the world's rising standard of living.
d
Conduit lenders a) use funds from other companies to make loans. b) specialize in loans from private sources. c) have decreased the risk in hotel borrowing. d) consolidate and sell mortgages to public and institutional investors.
d
Fairs and festivals are examples of a) regional theme parks. b) natural tourist destinations. c) national theme parks. d) temporary tourist destinations.
d
In a typical rooms department, the departmental income should be about a) 15 to 20%. b) 30 to 40%. c) 50 to 60%. d) 70% or more.
d
The "upstairs" guest is interested in a) the finer things in life and superior services. b) being roomed on an upper floor where it is quiet. c) food and beverage services and other amenities such as meeting rooms. d) a clean, comfortable guest room.
d
The following statement about the economic significance of tourism is correct: a) In total business receipts, tourism has consistently ranked fifth or sixth among all retail businesses. b) Tourism provides about the same number of jobs as most other service industries. c) Approximately one in every 100 civilian employees is employed in an activity supported by travel expenditures. d) The travel "multiplier" effect and actual travel receipts make tourism one of the top retail businesses.
d
13. The advantages of recycling trash in a restaurant are:
economics—reduces landfill costs and positive public relations with customers
12. The advantages and disadvantages of "value pricing" are
12. Advantages: increased customer volume and sales. Disadvantages: lower profit margin; cheap product image; strategy copied by competitors
2. The restaurant industry has responded to health and diet concerns by
2. While restaurants have responded positively by providing low-fat alternatives to rich foods and more salad offerings, they have found that only a small proportion of their customers choose them.
3. Why were products like McDonald's McLean Deluxe unsuccessful?
3. These items were unsuccessful because people customers were more interested in taste than in the reduced calories.
5. What is a dietitian?
According to the International Committee of Dietetic Associations, a dietitian is a person with a legally recognized qualification [in Nutrition and Dietetics], who applies the science of nutrition to the feeding and education of groups of people and individuals in health and disease.
15. Give three examples of how hotels treat employees an important "internal customers."
Answers should include English classes for international employees, childcare assistance, tuition reimbursement, flexible benefit plans, or extensive employee recognition programs.
15. An example of how the Internet is used by restaurants today is:
Answers will vary. Examples given in text are web pages, electronic couponing, frequent browser promotion and on-line review of menu offerings; customer email sections and correspondence to company management; allows customers to order food for home delivery and complete the payment on line.
13. Why is international travel expanding? How should hotel companies correspond to this change?
As the global economy expands, an increasingly number of people travel internationally. The U.S. companies have to have properties in those markets. The best way to publicize a chain at the points of origin of international travel is to have a property in the country. This makes local people familiar with the brand.
9. What are the different types of resorts based on location and season? What are the customer and hotel characteristics in each category?
By location, some resorts are "destination resorts". Hotel guests tend to have to travel at least several hundred miles to reach such a resort and travel is typically by air. Visits to destination resorts tend to be infrequent as in usually once a year or less. Other resorts are non-destination or regional resorts that involve a two- to three-hour trip for visitors and are usually traveled to by car. The visits to such locations are more frequent but usually for shorter periods of time. Seasonal classifications include summer, cold winter (i.e. ski resorts), warm winter and year-round. Today, most resorts operate year-round with group business and lower-rate packages bringing in guests during the less desirable times of the year
13. The reason cited in the text for thinking of the restaurant concept as a product is a) that individual menu items come and go so fast that it is not useful to think of them as a product. b) a restaurant concept is what franchisees sell to a franchise. c) the view of product embraces the whole of the consumer's experience. d) that the term "concept" is so all-encompassing that it includes the products served
C
Some hospitality companies have sold off their restaurant divisions because a) they were becoming too large to manage. b) of falling stock prices. c) they were less profitable and competition was increasing. d) they could get enormous profits by doing so
C
3. Who revolutionized the lodging industry with the motor hotel? What led him to this
Kemmons Wilson. In 1952, he took his family on a vacation trip. He was depressed by the dearth of accommodations to meet his family's and the business traveler's needs. He returned to Memphis with a vision of a new kind of motel property that combined the advantage of a hotel's broad range of services with a motel's convenience to the auto traveler.
3. For the food service industry, how do we define marketing?
Marketing is defined as communicating to and giving . . . customers what they want, when they want it, where they want it, at a price they are willing to pay.
2. Define on-site food service.
On-site food service consists of all food outlets in business and industry, schools, universities, hospitals, skilled-nursing centers, eldercare centers, correctional facilities, recreation facilities such as stadiums, and child care centers
7. Besides meals for patients, what other food might an on-site operator prepare in a healthcare setting?
Other meals might include those served in the hospital café and those offered in catered events.
3. Define participation rate.
Participation or capture rate refers to the percentage of the captive audience who patronizes the on-site operation.
9. How did Taco Bell extend its concept?
Taco Bell sold the rights to its brand name and entered into partnership with food manufacturers that handle development of the product and its distribution (including sauces and salsas) as a method to extend its concept.
1. Referring to the discussion on the history of lodging, what era produced similar products to today's motor hotels? Explain your answer fully.
The Romans built an extensive system of paved roads and included way stations and inns at regular intervals along the way.
2. Where were the first luxury hotels built? What was one of the first built in the United States?
The first grand hotels of the world were, for the most part, in Europe, including such landmarks as the Grand Hotel in Rome, the Paris Ritz, and the Savoy of London. The Waldorf Hotel in New York City was one of the first properties in the States to provide many of the European amenities.
10. The seven elements of the HACCP program are:
The seven elements are 1) analyze hazards 2) identify critical control points 3) establish preventive measures 4) establish procedures to monitor the critical control points 5) establish corrective action to be taken 6) establish procedures to verify that the system is working properly 7) establish effective record keeping to document the HACCP system
13. The segment that has the highest penetration by contract management companies is a) B & I. b) health care. c) schools. d) colleges and universities.
a
14. The HACCP sanitation program a) reflects a systems approach to food safety. b) is a training program using traditional food safety practices. c) is a trouble-shooting program when there is an outbreak of a food-borne illness. d) requires empowerment of food production workers
a
16. The concept of distribution refers to a) providing multiple locations to reach customers on the run. b) media blitzes that reach every household. c) radio advertising that reaches customers when they are on the road. d) the use of billboards to advertise a restaurant.
a
17. Hotel segmenting means that a) different types of hotels have been built to respond to specific traveler needs. b) destination of travelers is the key. c) transportation patterns have provided a homogeneous type of hotel. d) hotels are now motor hotels, catering to travelers.
a
18. The development of PODs by food service chains a) is currently the direction many are taking. b) is of no concern to franchisees. c) is strictly reserved to QSRs. d) falls under the marketing "P" of promotion.
a
19. The amount of waste an average American person generates each day is: a) 4 pounds. b) 10 pounds. c) 25 pounds. d) 40 pounds.
a
20. Which of the following best describes the impact of technology on lodging? a) Technology makes guests "connected" from any location in some hotels. b) Technology is gradually replacing personal service. c) In-room technology is becoming more and more complicated for the guest. d) Technology is only applied in luxury hotels.
a
23. The problem/s with incineration a) are air pollution and ash disposal. b) is inability to use the heat generated. c) is public relations. d) is only political in nature
a
24. Quality service a) consistently meets and exceeds customer expectations. b) is more important in the luxury segment than in the limited-service hotels. c) charges an extra fee. d) focuses on employees' interaction with customers, but does not include the standards furnishings and décor.
a
25. Composting a) converts food waste to a useful product. b) is not very well advanced. c) has not been shown to reduce garbage removal and landfill costs. d) should be used only in extreme circumstances when all other means have failed.
a
26. Overall, the chain restaurant industry is operating in a a) mature market. b) specialized market. c) uncompetitive market. d) price-cutting market.
a
26. The development of automation appeals to restaurant operators mainly because it can a) lower labor costs. b) lower food costs. c) bring robotization. d) bring affordable computer-operated food production systems.
a
27. New food products a) stimulate interest and can renew an existing operation. b) create concept blur. c) should be introduced quickly and often, without regard to quality. d) are called "distribution" in marketing terms.
a
33. For managers, computerized POS technology a) could link directly to their suppliers' computers. b) allows unskilled workers to do the manager's job. c) provides a great deal of information but does not identify cost problems. d) can help in the accounting area, but not in the operational such as in banquet sales.
a
5. A sub-segment of the business and industry segment is a) employee cafeterias. b) bed-side feeding. c) school lunch. d) elderly feeding
a
6. The best way to think of consumerism is as a) a social movement. b) a fad. c) a nuisance. d) a marketing pitfall.
a
7. An advantage of adopting branded formats is: a) branded formats have an identity that can help build participation. b) brands are less complex. c) operating costs for brands are higher. d) brands have menu flexibility.
a
8. Over the next decade, college enrollments are expected to a) show modest increases. b) show modest decreases. c) show significant increases. d) show significant decreases.
a
9. An example of possible "extension of concept" is a) the introduction of downsized units with limited versions of a franchise brand's menu. b) franchising a new concept. c) a change in advertising and promotion of a chain's primary product. d) a single specialty restaurant.
a
A CMBS is a) commercial mortgage-backed security. b) less available to hotel developers after September 11th. c) a type of mutual fund. d) the same as gap financing.
a
A property offering well-designed learning environments, a variety of small meeting rooms with full audiovisual and technological support is a) an executive conference center. b) a resort. c) a health spa. d) an extended-stay hotel.
a
A recent vacation trend among younger travelers has been a) weekend mini-vacations. b) 10-14 day vacations c) 4 week vacations. d) spending vacation time at home.
a
Guest data bases a) permit hotels to gather information about their guests. b) are reservation systems. c) are generated by surveys. d) are part of mass communication programs
a
Human resources in a hotel refers to a) employment and staffing functions. b) a labor union. c) techno-computer experts. d) the department that deals with guest relations.
a
In a large hotel, the person under the general manager who assumes responsibility for day-to-day operations is the a) resident manager or hotel manager. b) executive assistant manager. c) assistant manager. d) food and beverage manager.
a
In a typical food and beverage department the departmental income should be about a) 15 to 20%. b) 30 to 40%. c) 50 to 60%. d) 70% or more.
a
In the food service market today, a) the giants in the chain industry compete for market share. b) there is a rapidly expanding market. c) new chain concepts are entering the marketplace with frequency. d) competition is mostly between chains and independents
a
International tourism is measured by a) arrivals and receipts. b) the number of people visiting a country. c) travel miles. d) airline receipts and travel miles.
a
People are traveling more than they have in the past in part because of the a) increase in the number of two-income families. b) increase in the number of hotels and motels. c) increase in long-weekend trips. d) improved infrastructure.
a
Promotion in the lodging industry a) includes individual and mass communication media. b) refers to advertising. c) means P.R. d) excludes rewards for brand loyalty.
a
The cities which have introduced successful waterfront development projects are a) Boston and Baltimore. b) Boston and Atlanta. c) Baltimore and Atlanta. d) Atlanta and Santa Fe.
a
The department that is most crucial to the financial success of a typical hotel is the a) rooms department. b) food and beverage department. c) engineering department. d) accounting department.
a
The hotel industry can be characterized competitively as a) highly competitive. b) somewhat competitive. c) non-competitive. d) monopolistic.
a
The most common means of tourist travel is by a) automobile. b) train. c) bus. d) airplane.
a
The most significant reason that people give for traveling is a) to visit friends and relatives. b) business and convention travel. c) outdoor recreational travel. d) travel to sightsee and for entertainment
a
The type of advertising hotel franchisers use for their chains is called a) brand advertising. b) national advertising. c) reservations advertising. d) franchising advertising.
a
The written agreement between a hotel management company and the hotel owner is called a a) management contract. b) independent contract. c) franchise contract. d) operating contract.
a
Travel wholesalers a) purchase and resell travel space and services. b) are the same as travel agents. c) have declined in significance as a channel member. d) make arrangements for individual travelers.
a
7. Which factors below have produced distinct segments in today's professional lodging operations? a. Food service b. Rental cars c. Changing transportation patterns d. Varying special needs of travelers
a, c, d
12. Which sentences below describe business travelers' needs. (a) Access to the Internet (b) Full-length mirrors and coffee makers (c) Airline information (d) In-room video-games (e) Daily newspapers
a, c, e
10. In college and university food service a) board plans are becoming more rigid in structure. b) board plans provide a level of predictability. c) there is less profit potential than in other segments. d) students prefer board plans to other types of programs.
b
15. Food service establishments that sell alcohol a) are not liable for the behavior of their customers. b) have experienced an increase in liability insurance rates. c) overall have found that customers are drinking more. d) receive a lower profit margin from alcohol than from food.
b
15. SMERF refers to a) summer resorts. b) business that originates from five resources: social, military, educational, religious and fraternal. c) a kind of governmental travel. d) small-sized hotels.
b
16. A major reason for international travel is a) low cost of lodging facilities in other countries. b) global economic expansion. c) high cost of videoconferencing. d) inefficiency of communicating by phone, fax, and e-mail.
b
17. Solid waste has gained attention from restaurant operators principally because of a) the threat to the environment from methane released from landfills. b) the soaring cost of landfills. c) the greenhouse effect. d) water contamination.
b
17. The recent changes in USDA regulations focus upon a) food groups. b) calories, nutrients and fat. c) total cholesterol. d) cost.
b
21. Recycling a) is worth doing because of the value of the recycled materials. b) today is cost-effective because of the high cost of dumping in landfills. c) is worthwhile for glass and paper, but not for aluminum cans. d) is impractical except for composting.
b
22. A practical form of reusing and recycling for restaurants is a) to switch from paper to china. b) to buy products that can be recycled. c) to use disposable skids. d) install bins for paper, plastic, glass, and food waste and ask customers to sort it.
b
23. After the event of 9/11, which kind of travel seems to be more important to Americans? a) international travel b) family travel c) business travel d) rural travel
b
23. Included under recreational food service a) are private clubs. b) are stadiums and arenas. c) is transportation. d) are health clubs.
b
24. The following statement is true about private clubs: a) Most private clubs tend to be similar. b) Private clubs may be owned by members. c) Private clubs are open to the public. d) Few club managers have food and beverage experience.
b
25. The statement that is true about supermarkets in competition with food service is: a) Supermarkets are not considered a possible part of concept blur because both sell food. b) Supermarkets are responding by adding PODs and more take-out foods. c) The restaurant share of the dollars spent by consumers at supermarkets has been decreasing. d) Supermarkets do not really compete with restaurants for the consumer's food dollar.
b
27. Computerization in food service operations in the near future will a) replace workers. b) aid management with cost control reports. c) be too expensive for all but large restaurants. d) not be applicable in many food service operations
b
29. One of the new technology used in the restaurant industry is a) completely automated kitchen equipment. b) the use of induction heating. c) robots replacing servers. d) machine-cooking of food as ordered.
b
4. Independent operators today a) have a larger share of the restaurant market overall. b) are usually either large or fill niche markets. c) are becoming chain operations or face bankruptcy. d) have maintained their market share compared with the last ten years
b
4. The statement which best describes the difference between a guest and a client is: a) Clients in the institutional sector are virtually captive. b) The client refers to the institution and the guests are the people being serviced. c) The guest refers to the institution and the clients are the people being serviced. d) There is no difference between the meaning of the two terms.
b
5. The marketing mix consists of a) flexibility, differentiation, conceptualization and diversification. b) product, price, place and promotion. c) introduction, growth, maturity and decline. d) branding, couponing, POD and advertising.
b
6. A characteristic of the business and industry segment is a) an increase in the number of manufacturing accounts. b) increased out-sourcing by businesses. c) less aggressive marketing efforts. d) decreasing economies of scale.
b
6. The meaning of "new product" a) is limited to genuine innovations. b) includes both "new to chain" and "new to world" products. c) includes "new to world" products but not those that are copies from another chain. d) excludes new-sized portions of existing products.
b
8. Extension of concept is to describe a) the impact of increased advertising and media saturation. b) changing the nature of the a product to serve new markets. c) the growing similarity between fast food and coffee shops. d) the casualizing of fine dining.
b
9. Which of the following statements is not true about an ecotourism resort? a) It is usually located in areas of natural beauty. b) It open only in summer. c) Its design blends with the surroundings and protects the ecosystem. d) It can be found in the Great Barrier Reef of Australia.
b
A "person trip" is a) the number of trips times the number of people taking each trip. b) one person traveling 100 or more miles away from home. c) a term used for international travel. d) a single individual traveler rather than a group.
b
Airlines with "hub-and-spoke" systems are characterized by a) flights scheduled to all major cities. b) a large investment in people and equipment. c) simplified scheduling with many scheduled stops. d) fewer customers on long-distance, high-volume flights.
b
Employment opportunities in theme parks a) do not include the food section. b) may fluctuate between seasons. c) are not important as most are only summer jobs. d) do not provide training programs.
b
Fairs and festivals can best be characterized as a) temporary amusement parks. b) important mainstays of numerous communities. c) having nothing to do with the hospitality industry. d) being held mostly in warm weather areas
b
Investment in a hotel is attractive when a) interest rates are high. b) inflation is a real possibility. c) the value of hotel assets are at their peak. d) profits are decreasing.
b
Mezzanine financing a) increases the amount of money the borrower must provide. b) is higher risk than mortgage debt and thus has a higher interest rate. c) means that a mortgage is not required when money is borrowed. d) is a publicly-traded stock.
b
One of the basic beliefs of theme parks is a) that education has no place in theme parks. b) that education can be fun. c) that education should be a part of every aspect of the park. d) that education is the job of schools.
b
Planned play environments a) include national parks. b) are artificial environments created for the enjoyment of tourists. c) date back only a few years. d) are synonymous with shopping malls
b
Planned play environments are described as being relatively new because a) there is no earlier precedent. b) they are unique with regard to size and scale. c) they eliminate thrill rides. d) they are usually free to visitors.
b
Short-haul airlines providing point-to-point service a) offer little competition from "hub-and-spoke" carriers. b) usually have no-frills service and lower fares, thus minimizing staff and investment. c) are likely to drive "hub-and-spoke" systems out of business. d) provide no frills service with lower fares.
b
The "downstairs" market a) includes hotels without restaurants. b) is service intensive. c) is a limited-service segment. d) focuses on guest rooms in a hotel.
b
The "load factor" refers to a) hotel occupancy. b) percentage of airline seats sold. c) partnerships. d) franchisors.
b
The "low variable cost" of a hotel room means that a) fixed costs are low. b) the cost associated with selling a room is low. c) there is a low margin over costs and prices cannot be cut in a competitive market. d) hotels today are relatively inexpensive to build compared with the past.
b
The age group that travels most is a) 25 to 34 years of age. b) 35 to 44 years of age. c) 45 to 54 years of age. d) 55 to 65 years of age.
b
The country's first national park was a) Atlantic City National Park. b) Yellowstone. c) Yosemite. d) Big Bend.
b
The definition of ecotourism is: a) tourism in a natural environment. b) tourist activities which promote and are friendly to the natural environment. c) hotels which recycle waste. d) any type of tourist activity which doesn't harm the environment.
b
The lifetime of a new hotel and the cycle of hotel building a) are the same. b) has meant times of excess capacity. c) has meant a less capital-intensive industry. d) has led to a reduced influx of capital into hotel building projects.
b
The tourism "multiplier" refers to a) the growth rate of tourism. b) the effect of repeated spending resulting from the initial tourism expenditure. c) the attempt to increase visitors from overseas by the USTS. d) specific kinds of tourism promotion.
b
Theme parks a) are always primary destinations. b) cater to people's need for fun and fantasy. c) are the same as amusement parks. d) were developed in the 1970s.
b
When domestic economy has become better in 2003, the hotel industry a) experienced a building surge. b) was faced escalating land and construction prices. c) still couldn't recover from all terrorist and natural disasters. d) became not so efficient in management as before.
b
Which description below is not correct about Legoland California? a) The majority of its visitors are from within the state. b) It is a traditional amusement park. c) It is a secondary destination attraction. d) The park consists of entertainment, shopping, rides and shows.
b
10. At the present time, nutritional labeling covered by the Nutrition Labeling and Education Act a) is required only in franchising restaurants. b) is required only in QSRs. c) is required only for menu listings with nutrient or health claims. d) does not apply to restaurants.
c
11. Restaurant menus can claim a health benefit, approved by the government, for a) fruits and vegetables in arthritis claims. b) any foods to alleviate children's diseases. c) fiber-containing fruits, vegetables, and grains in relation to cancer-prevention claims. d) any healing food if the claim can be proven
c
12. In health care feeding a) most are becoming less profit oriented. b) fewer facilities are being contracted out. c) there are many different diets to manage. d) struggling to cope with extended patient stays is a major problem.
c
14. The segment that has the lowest penetration by contract management companies is a) B & I. b) health care. c) schools. d) colleges and universities.
c
15. The following is the biggest concern in school food service: a) food service will be stable over the next few years. b) lunch program will not grow. c) child obesity. d) education of good nutrition.
c
16. The major contribution food service can make to our environment is a) the elimination of aerosols from all purchase orders. b) reducing products which rely on animal testing. c) managing the waste stream. d) serving only line-caught fish.
c
16. The typical response to funding changes in school lunch programs has been a) a focus on reducing costs. b) a focus on marketing. c) to reduce waste. d) to do nothing.
c
17. The greatest strategy change by multi-unit companies in regard to "place" has been a) attention to site selection on the outskirts of metropolitan areas. b) the expansion of real-estate offices to regions. c) to "capture" customers wherever they might be. d) to concentrate on a narrower distribution.
c
18. Sanitary landfills are a) located far from cities and hence do not create problems for people. b) relatively inexpensive to build. c) lined with clay or a synthetic liner. d) successful in returning waste matter into compost quickly.
c
18. The fundamental need for business travelers is a) tele-conferencing. b) full-length mirrors and coffee makers in the room. c) the access to information. d) free airport shuttle service.
c
2. The following is not considered one kind of on-site food service: a) college cafeteria. b) private club restaurant. c) shopping mall food court. d) in-flight lunch.
c
20. The wealthiest consumers a) are a target market of all restaurants. b) seldom change their spending behaviors. c) are defined differently according to various criteria. d) are unknown for food service companies.
c
21. Retirement housing communities a) cater to people between 55 and 65. b) are modeled after a "one-size-fits-all" mentality. c) may take a variety of forms. d) are dominated by hotel companies.
c
21. Sales promotion differs from advertising because a) it includes all forms of media promotions. b) it excludes "deals." c) it includes other activities. d) it is directed at increasing sales over a long period of time.
c
21. Which segment is growing the fastest with 70% of increase in the last ten years a) transit business travelers b) association business travelers c) female travelers d) child travelers
c
24. The major advantage which petroleum companies bring to the C store food service sector is a) availability of gasoline at their locations. b) availability of a gasoline company brand name for faster consumer recognition. c) that consumers can use an oil credit card to charge their food service purchases. d) that customers are motivated to spend and check averages are higher.
c
25. The following is not true regarding transportation food service: a) The segment is dominated by in-flight food service. b) The focus is on providing more choices in terminals. c) All in-flight food service is out-sourced. d) Some companies have introduced national brands.
c
25. To treat employees as internal customers, which of the following is a fundamental aspect of the organizational culture? a) flexible benefit plans b) extensive employee recognition programs c) a positive work place d) quality service concept
c
28. Computers are used in the front of the house a) to replace the server. b) to take orders and deliver food from the kitchen. c) for order-taking and sending the orders to the kitchen staff. d) but they reduce the interaction between customer and server.
c
28. Price cutting in the restaurant industry a) is focused on the long term. b) means a decrease in total sales but an increase in profits. c) is generally effective in off-seasons. d) should never be used in a competitive market.
c
4. In general, the food service industry has responded to key consumer problems a) by ignoring them. b) only when pressed to do so. c) positively as these concerns surface. d) by trying to convince consumers that they should not be concerned with advertising.
c
7. Dietary schizophrenia refers to a person who a) is always on a diet. b) dislikes diets. c) expresses interest in nutrition but does not always choose healthful food when eating in restaurants. d) demands that restaurants list nutritional information for each item on the menu.
c
A chef a) is another name for "cook." b) does not deal with food purchase and employment. c) is an investment for some hotels. d) is becoming less important with the availability of frozen food.
c
A fragmented hotel industry is a) one in which there are a few dominant brands. b) a highly concentrated one. c) characterized by many owners. d) one with little competition.
c
A motel in the first part of the 20th century a) must have a swimming pool. b) offered a wide range of services. c) was usually located at the edge of town. d) met both family and business traveler's needs.
c
A potential problem associated with publicly held hospitality companies is that a) the image of the company blurs. b) management within individual units have no incentives for advancement. c) a long-term vision of the company suddenly becomes short-term. d) capital is unavailable for expansion and renovation.
c
A problem with REIT financing in the hotel industry is a) high income tax on profits. b) not enough capital available. c) REITs cannot operate hotel properties. d) they do not pay dividends to their shareholders.
c
An example of a regional theme park is a) Las Vegas. b) Disney World. c) Dollywood. d) Mall of America.
c
Food service is more important to a) the upstairs guest. b) the transient businessman. c) the downstairs guest. d) family and other personal travelers.
c
For families today, vacation needs are for a) two- to three-week vacations. b) inexpensive vacations c) "quality time" vacations. d) theme park vacations.
c
Frequent stay programs in the hotel business a) cost the marketing department little since rooms would otherwise be empty. b) were first introduced early in the 19th century. c) reward guests for brand loyalty. d) have not been successful.
c
Generally speaking, which type of property has the highest rate? a) Full-service hotels b) All-suite hotels c) Resorts d) Convention hotels
c
Hotel chains which serve as hotel management companies usually a) do so to expand their business. b) offer more operating flexibility than independents. c) do so for their franchisees. d) do so without a written contract.
c
Hotel reservations through the Internet a) are limited to luxury hotels. b) do not affect conference planners. c) have forced many travel agencies to niche market. d) are still too complicated for individual travelers
c
Hotel room prices are a) fixed. b) the rack rate. c) changed with demand. d) unaffected by the cyclic nature of the industry.
c
M&A activity will increase when a) competition in the hotel marketplace is severe. b) hotel chains become popular. c) capital is easily available and less costly. d) capital is not available.
c
RevPar is a) average rate. b) number of guest per occupied room. c) revenue per available room. d) revenue per sold room.
c
Securitization refers to increased use of a) stock. b) debentures. c) financing from public markets. d) mezzanine financing.
c
Services such as superfloors and amenities a) are becoming the norm for most hotels. b) are only found in luxury hotels. c) serve to differentiate properties. d) are necessary if food service is eliminated.
c
Tax savings on hotel investments a) have disappeared in the 1990s. b) are from tax credits today. c) are made today by deducting loan interest from income. d) are offset by the cost of going public.
c
The best description of the lodging "product" is a) physical goods. b) the guest room. c) the total guest's experience. d) guest service.
c
The cost that is considered a capital cost is a) supplies. b) music and entertainment. c) depreciation. d) utilities cost.
c
The department that is notified as soon as a guest checks out of a hotel is a) the bell staff. b) bookkeeping. c) housekeeping. d) rooms.
c
The following has not contributed to the growth of tourism: a) leisure time b) rising family income c) decreased cost of leisure activities d) demographic trends
c
The following is not a factor that has influenced the growth of gaming: a) it is more acceptable as a form of entertainment. b) its convenience. c) deregulation of the industry. d) the government's need for funds.
c
The following statement is correct about demographics as a major tourism factor: a) People over 65 years of age are an unimportant market segment. b) Middle-aged travelers often choose group travel at off-peak times and seasons and tend to be more price conscious. c) Two-income families have become a major factor in tourism. d) Generally, most people over 80 years of age are unable to travel.
c
The most important group for regional theme parks is a) international visitors. b) young professionals. c) visitors from nearby. d) conventioneers.
c
The most prominent impact of man-made tourist attractions is a) overcrowding and congestion. b) to take business away from hotels and restaurants. c) economic benefits to the community. d) a decrease in visits to national parks.
c
The property management system a) is a computerized payment system. b) is used primarily by the controllers in the hotel office. c) automates much of the procedural work on the front desk. d) is part of the real estate office in large hotels.
c
The smallest size settled on by motor hotel chains for full-service hotels as economically viable is a) 20 units. b) 75 units. c) 100 units. d) 200 units.
c
Urban environment centers are a) national parks, zoos, convention centers. b) museums, national parks, convention centers. c) zoos, aquariums, shopping centers. d) casinos, theme parks, eco-resorts.
c
Which of the following is not a factor of competition for the hotel industry a) a fragmented market. b) a cyclical market. c) the weakening economy. d) technological revolution.
c
Yield management in lodging a) provides consistent rooms pricing. b) does away with market fragmentation. c) combines a history of room demand with a current demand. d) is a formula for room rates based on expected profits and fixed costs.
c
business centers in the lodging industry a) are "away-from-business" mini-offices for travelers' use. b) are mini-malls in large hotels. c) provide guest services such as computers, photocopying, Internet, printers and fax machines. d) are hotels surrounded by local businesses, usually in downtown cores.
c
the engineering department in a large hotel is responsible for a) the rooms department. b) designing new facilities. c) the mechanical equipment. d) building and repairing structures.
c
12. List some changes that are occurring with in-flight food service:
changing level of services, partnering, increasing choices in airports
"Encroachment" refers to a) franchisees taking on more than one kind of hotel franchise. b) management contract companies who "bundle" their properties in one or a few cities. c) the general practice of overbuilding by real estate developers. d) the practice of building more than one franchised hotel in a market, using the same franchise or a competitive brand in the same market.
d
10. Vacation ownership a) is the slowest-growing segment in the travel industry. b) only exists in the U.S. c) restricts the buyer to one property only. d) Is a type of shared ownership in which the buyer purchases the right to use a residential dwelling unit for a portion of the year.
d
14. Association business travelers a) work in for-profit organizations. b) spend more money in traveling compared with corporate travelers. c) usually travel alone. d) often are cost-conscious than the corporate segment.
d
20. Plastic products, in recycling systems, a) must be incinerated before they are recycled. b) cannot be recycled. c) will compost fairly quickly. d) must be sorted by resin before they can be recycled.
d
23. Generic competition a) is a form of dealing. b) is a consumer need to give up restaurant dining. c) is giving away inexpensive, generic products in a promotion. d) is competition of food service with other industries.
d
24. Incineration a) contributes methane gas to the atmosphere. b) is not a political issue and is the best choice for most paper products. c) is an excellent choice because the ash residue can be used as a fertilizer. d) is less attractive than recycling if the latter is possible.
d
30. The real issue in the future of restaurant equipment and automation is a) heightened use of computers. b) what is technically feasible. c) what makes good social policy. d) the need to reduce employee hours.
d
31. The following statement about chilled prepared foods is correct: a) Chilled foods are held at a higher energy cost than frozen foods. b) The shelf life for chilled foods is six months. c) Chilled foods, while cost effective, are inferior in quality and have inherent microbiological problems. d) Chilled foods permit scheduling flexibility and productivity.
d
Limited service properties generally provide a) rather indifferent service. b) a very small restaurant and bar. c) sous vide cooking. d) an advertised, standardized free breakfast.
d
Marketing in a small-scale hotel a) means personal selling by a sales manager. b) today is targeted to national conventions. c) is determined by the corporate office in a chain. d) is a function of general management that involves all levels of operation.
d
The night audit requires a) that yesterday's closing balance be added to all payments made today. b) that all charges guests made today should be deducted from yesterday's closing balance. c) that today's closing balance will be the result of adding all charges guests made today to yesterday's closing balance. d) that today's closing balance is the addition of all charges guests made today to the closing balance from yesterday minus all payments received today.
d
The process of balancing the day's charges and cash receipts against the guests' accounts is referred to as a) the night audit. b) back-office work. c) the tray-ledger. d) the shift balance procedure.
d
The statement that best describes competition in the restaurant business is a) There has not always been competition. b) It has been possible for a few companies to control the market. c) There are few buyers and sellers in today's market. d) The nature of competition has changed because the better locations have been taken.
d
The system that improves operational efficiency by eliminating repetitive tasks and improves service by providing information more quickly and accurately is a) POS (Point-of-sale). b) key clerk system. c) yield management. d) PMS (Property management system).
d
The term "mass market tourism" refers to a) tourist destinations that cater to the young at heart. b) tourist destinations that cater to the athletically inclined. c) theme parks. d) destinations that attract a wide variety of visitors.
d
Which of the following terms refer to ownership? a) Mortgage b) Bond c) Debenture d) Equity
d
Which of the following type of hotels offer an important "extra" service- transportation to and from the airport? a) Luxury hotels b) Downtown hotels c) Highway hotels d) Airport hotels
d
Yield management as used by hotels a) is produced by analyzing the posted room rate. b) determines the room rate by evaluating competitor's rates. c) has increased room rates during times of low occupancy. d) maximizes the room rate when occupancy is high.
d
4. What are some of the things that colleges and university food service operations are doing to better market their services to college students?
eliminating (or creating more flexible) board plans, offering cash cards, introducing brands
14. What are some of the trends in on-site food service?
increased marketing of services, use of brands, outsourcing, entry into other areas
13. List several characteristics of vending
method of delivery, most common in colleges and universities, greater flexibility, improving products and services
6. What are some of the unique challenges associated with providing food service in the health care environment?
special diets; different services such as patient, cafeteria, dining room; increasing emphasis upon costs
