RPL 307 Final Exam
Which type of market demand analysis is best used by franchises and large chains?
Comparable projects method
Discounts, superior service, convenience of locations, and special features are all examples of what concept?
Competitive differentiation
What amusement park in the U.S. had the first modern roller coaster?
Coney Island
An advantage of debt financing (compared to equity financing) for private businesses is:
Control of decision making and profits (if any)
Which is not an element of the "Cs of credit?"
Convenience
A summer alpine slide at a ski resort or hunting guide services based at a summer camp are examples of:
Core product extensions to increase auxiliary revenue
Which type of business structure usually provides the best protection of personal assets for the owners?
Corporation
What are general area of concern regarding security for commercial recreation and tourism?
Crowd control; hours of operation; emergency procedures; and facility security; (all of the above)
The type of resort that has the most signature amenities and secondary amenities is the:
Destination resort
Products and services that significantly change a marketplace are known as:
Disruptive technologies
An advantage of external funding for private businesses is:
Distribution of risk to others
The primary aim of programming as a supporting amenity is to:
Draw new customers; and draw repeat customers; (A & B only)
The aim of recreation programming as a revenue-generating amenity is to:
Draw new customers; draw repeat customers; and generate a profit in the recreation program; (all of the above)
The importance of ecotourism for a destination is that:
Ecotourism spending usually has a deeper impact on the local economy; and ecotourism promotes conservation of natural resources and culture; (A & B only)
A recreation-related organization that searches for trends and changes its environment and then brings together and manages resources to exploit those changes as an opportunity is an example of:
Entrepreneurial recreation
A market in which participation already exists in the geographic area to be served by a new business is known as the:
Established market
VIP tickets and radio-frequency identification (RFID) technology are major trends in the (BLANK) industry.
Events, concerts, and festivals
Commercial recreation business never has negative impacts on a community.
FALSE
Ecotourism is concerned with the effects of tourism on the environment, but not on the impacts to the people living in that destination area.
FALSE
For most food and beverage events, it is a good idea to have mostly foreign and exotic dishes.
FALSE
In general, recreation programs and amenities do not help differentiate one business from another and are not key factors in generating repeat business.
FALSE
International tourists from Asia, Europe, and South America typically spend less per person per day while on trips to the U.S. than do tourists from Canada and Mexico.
FALSE
When you have recreation programs as a "supporting amenity," you have to make a profit on the program or at least break even.
FALSE
Travel agencies, equipment wholesalers, and tourist/visitor bureaus are examples of what?
Facilitator industries
What process results in a comprehensive analysis that determines the potential for reaching financial goals?
Feasibility study
The largest category of expenditures in the commercial recreation and tourism industry is:
Food services and drinking places
What sort of agreement permits a buyer/operator of a business to sell the products or services of the seller?
Franchise
Which is true about goods and services?
Goods are tangible and services are intangible
Which group of ancient people was active in tourism?
Greeks and Romans
What helped to fuel growth in commercial recreation and tourism after World War 2?
Healthy economy, Increase in discretionary income, and Interstate highways (all of the above)
The class of hotels/motels that provide overnight accommodations to travelers on their way to a final destination is known as:
Highway/roadside motels
Which of the following is NOT true of current trends in the airline industry?
Increase in profit margin due to increase in discounted fares
When you save $1.00 in operating expenses, the effect on gross profits is to:
Increase profit $1.00
Positive impacts of commercial recreation and tourism business may include:
Increased employment and economic growth for a community; increased property values; increased tax revenue; (all of the above)
In a product diffusion concept, the last group to buy a product is known as the:
Laggards
The industrial model of organization is characterized by all of the following except:
Less order and stability within organizations
The ability of an enterprise to generate enough cash to pay its bills is known as:
Liquidity
The main goal in risk management is:
Loss prevention
Which of the following is usually true regarding the provision of an entertainment event?
Major entertainers are not usually available on short notice; booking agents offer access to numerous entertainers; and individual names of entertainers should be included on a contract; (all of the above)
With children's programs at resorts, it is important that:
Meals and snacks meet all applicable health codes; programs are flexible enough to accommodate variable numbers of children; there is an adequate ratio of staff to children; and programs are developed based around the character of the resort; (all of the above)
Many of the technological innovations for travel and for recreation products were first developed for what purposes?
Military
Which strategy applies to cash flow management?
Minimizing inventory buildup; depositing revenue the same day that money is received; and selling or leasing investments in idle assets; (all of the above)
A tourism trend that is projected is:
More long weekend travel
Which of the five major components of the recreation and tourism experience is usually the primary revenue generator for a commercial recreation and tourism business?
On-site participation and/or purchase
Which is not an example of a start-up cost for a new business?
Operational costs
Which type of promotional strategy features assessment of the customers needs, development of a sales message, evaluation of the customer's reactions, and adjustments made to the sales message?
Personal selling
A budget is a:
Plan of action with price tags attached
A pricing strategy that uses a high introductory price and then gradually reduces the cost over time as the market becomes more competitive is known as:
Price skimming
Which of the following is NOT a stage in product rejuvenation?
Product testing
Variations of (BLANK) include frequency of program, duration of program, skill level, and number of participants.
Program structure
The role of government in commercial recreation may include:
Provide, maintain, and regulate the infrastructure; promote tourism and commercial development; provide low-cost introductory programs; leasing of concessions for food, beverage, and other amenities; (all of the above)
A person who is conservatively oriented, who prefers to return to familiar travel destinations is known as a:
Psychocentric traveler
Forces within us that motivate us to travel are known as:
Push factors
The type of tour company that specializes in arranging for tourists who come to their destination is called a:
Receptive tour operator
The five major steps or components of the recreation experience include (1) anticipation, prep, and planning; (2) travel to; (3) on-site participation and/or purchase; (4) travel from; (5).............
Recollection
Serving as a referral service, providing how-to information, providing loan equipment, and publicizing other programs are all types of:
Recreation facilitation services
Which of the following would be most likely to fit into more than one of the three main components of the commercial recreation and tourism industry?
Resorts
Which source of debt financing to start a commercial recreation and tourism business typically has the lowest interest rate?
SBA loan
What would be a good source of information for a feasibility study?
SBA; local government; the competition; (all of the above)
Which of the following is NOT usually part of the program setup stage of the Practical Programming Process?
Schedule the facility
State and regional travel councils:
Serve as facilitators to the tourism industry
A method of employee training in which the new employee follows an experienced employee and learns the job through firsthand observation and trial is called:
Shadowing
A business enterprise owned and operated by one person is known as a/an:
Sole proprietorship
What is an example of extra services that can affect the overall profitability of a commercial recreation enterprise?
Souvenir sales; Instructional classes at craft stores; and Commercial photographers on cruise ships; (all of the above)
In a one-stage sale, the supplier (i.e., airline, rental car firm, hotel, entertainment, resort, etc.) sells directly to the:
Speciality channeler
Ethical business practices include:
Strive for long-term prosperity not just short-term profit; sustain your natural environment and culture of your community; and practice equity and justice in operations; (all of the above)
A commercial campground is likely to have options for customers to choose if they want some combination of electricity, water, and sewer service.
TRUE
A major trend in fitness centers is CrossFit, which is a strength and conditioning program with movements that are consistently variety at a high intensity.
TRUE
A special event checklist can serve as a reminder when planning an event so that you don't forget an element of the event.
TRUE
Amtrak has been a very profitable rail system for many years.
TRUE
An economic downturn can be a good opportunity to adjust a company's business plans and develop practices to capitalize on changes in the economic environment.
TRUE
An integral part in the transformation of society has been of the rise of management.
TRUE
Brand segmentation is a trend in the hotel industry.
TRUE
Contemporary managers perform the role of an encourager, facilitator, teacher, and coach.
TRUE
Retail businesses and hospitality businesses have found that recreation programs can help them differentiate their product or service.
TRUE
Serving as a referral service, providing how-to information, providing loan equipment, and publicizing other programs are all types of recreation facilitation services.
TRUE
The provision of recreation by a government agency when it charges a fee is not "commercial recreation" because government does not have the business expense of paying property tax and income tax.
TRUE
What is not a characteristic of a service?
Tangible
A relatively homogeneous group of consumers who have similar needs and product preferences, on whom an entrepreneur wishes to concentrate is known as a
Target market
The three area of skill that Katz identified as necessary to the management process include:
Technical, human, and conceptual
Some important procedures when leading a motor coach tour include:
Test the PA system upon boarding; do not block the driver's mirrors; and count the passengers during loading and unloading; (all of the above)
Price increases will improve the total sales revenue:
That's possible, but not always true
Which situation tends to help increase tourism to the U.S.?
The U.S. dollar decrease in value compared to foreign currencies
Which of the following is usually true about cruise ship staff?
The cruise director is head of the entertainment department
The number one source of travel information is:
The internet
Repeatedly programming a certain type of activity the same way is often called:
The stereotype trap
The three broad classifications in it which persons who manage leisure services can be categorized include:
The supervisor, the developer, and the employer
What types of commercial recreation and tourism businesses would typically most need seasonal labor?
Theme parks
Auxiliary revenue sources are important to a commercial recreation and tourism business because:
They help diversify your business; they can add an important revenue source; and they could be particularly important in the off-season; (all of the above)
According to the Travel Industry Association of America, which of the following statements is NOT true of business travelers?
They tend to take longer trips (number of days) than pleasure travelers
The sale of luxury accommodations to numerous people, in segments of one or more weeks, or as "points" to be used for resort vacations, is known as:
Time-share, or interval ownership
What type of company contracts with airlines, hotels, and rental car companies for large numbers of guests and then creates packages that are often cheaper for the consumer to buy than each item purchased separately?
Tour companies
When organizing a tour, the party who typically develops the overall itinerary, pricing, and marketing is the:
Tour operator/wholesaler
The type of tour company that specializes in putting together tour packages to sell to travel agencies is a:
Tour wholesaler
What invention of Thomas Cook's do travelers still use today?
Traveler's checks
The two major approaches to the classification of golf courses are:
Type of course and type of operation
Which are good ideas for most food and beverage events?
Use buffet service carefully since it takes longer & people eat more; and use foreign and exotic dishes sparingly; (B & C only)
After the railroads, (BLANK) became the great American middle-class tradition.
Vacationing by auto
Paradigms may be defined as all of the following EXCEPT:
A simple process
In theme parks, where does the majority of revenue come from?
Admission fees
The hub and spoke concept is most important to which industry?
Airlines
A person who seeks new experiences and adventure in a variety of activities is known as an:
Allocentric traveler
Pleasure gardens of the 16th century are said to have been the precursors of what modern institutions?
Amusement parks
The agricultural era was known for:
An authoritarian approach to leadership
One of the services of a travel agency is:
Arranging transportation and lodging for clients; retailing tour packages; and providing information about tourism destinations; (all of the above)
When evaluating the program, what should you analyze?
Attendance; how well participant benefit expectations were met; and revenue & expenses; (all of the above)
Which must a resort have to be successful?
Be based on an attractive natural resource or have significant man-made attractions; be close to or have access to a large population base; and have a unique feature that differentiates the resort from others; (all of the above)
Regarding financial planning, a management control device that helps determine how much of a product or service must be sold to exactly cover costs is known as:
Break-even analysis
With tour itineraries, it is a good idea to:
Build in several optional stops, side trips, & events; and not have your biggest event the night before departure for home; (A & B only)
Tax rates, real-estate costs, business trends, and cooperation of government can be described as:
Business environment
Employee availability, competition, transportation availability, community character, and climate are examples of:
Community environment
Three areas of skills that are essential to the management process include technical, human, and conceptual skills.
TRUE
Three broad classifications of persons who manage leisure services include the supervisor, the bureaucrat, and the manager.
TRUE
If you sell a shared group buyout to two groups on the same night, be sure that:
The groups are not so different that they would be in conflict
What is the main purpose of financial controls such as carrying fidelity insurance and requiring two signatures for all checks?
To help avoid monetary loss through error or dishonesty
After the 9/11 terrorism attacks, how much did air travel decline for the next year?
About 10%
Computer programs can be utilized for which of the following functions?
Accounting and financial functions; environmental management; and marketing functions; (all of the above)
A type of group sale in which a set of prenumbered tickets is issued to an organization with the written agreement that they will be sold at a certain price or returned by a certain date is known as
Consignment tickets
Managers are:
Directly responsible for much of the success or failure of an organization; have the responsibility and authority for providing direction to a recreation, parks, and leisure service organization; and have the ability to move an organization towards its goals and objectives; (all of the above)
In the 21st century, society is undergoing transformation moving from a post-industrial society to an industrial oriented society.
FALSE
The industrial model of organization led to poor work productivity and less efficient productivity.
FALSE
The take-off stage is the time in a product's life course when most of the market is aware of the product and has decided to consume or not to consume.
FALSE
Which is not a good idea for group sales?
Have the group use the same entrance as everyone else
The value of financial ratio analysis is to:
Help you analyze your data to see how you compare to industry averages
When a "superstar" applies for a job in your organization, but you don't have a vacant full-time position available, you should:
Hire the superstar into a good part-time position and move them up as soon as you can
In what way can sales volume be increased?
Improve the product or service to better meet consumers needs
The type of financial statement that summarizes the financial activity of the organization over a specific period is known as a/an
Income statement
The main advantage of social networking as a form of product or service promotion is that
It can have a "snowballing effect" through the voluntary participation
Which are good tips for customer service?
Learn guest preferences; make it easy for them; and listen to their complaints; (all of the above)
Which of the following is a key to success in the golf course and country club business?
Location and design & maintenance
Which is usually true regarding the difference between goods and services?
Many services will "spoil" if not consumed (sold) within a certain time
The stage in a product's life course when most of the market is aware of the product and has decided to consume or not to consume is known as:
Maturity stage
Which of the following illustrates a channel of distribution?
Producer-Consumer; Producer-Retailer-Consumer; and Producer-Wholesaler-Retailer-Consumer; (all of the above)
Unpaid promotional activity that you cannot control is:
Publicity
According to research, the fastest growing market segment in the last 10 years of the sports industry is:
Snowboarders
Environmental constraints that managers must be aware of that can affect the delivery of leisure services including the participants:
Social, political, physical, and economic factors
An interface in recreation, parks, and leisure service organization may be defined as the interaction that takes place between factors in the environment.
TRUE
At the beginning of the 20th century, most individuals worked as domestic servants, farmers, or in factories as laborers.
TRUE
Human skills can be defined as the ability to motivate people by working with and through them to achieve organizational goals.
TRUE
Knowledge of the experiences of early recreation, parks, and leisure service managers can help provide managers with an understanding of challenges and strategies to advance concepts related to parks, recreation, and leisure in North America.
TRUE
Managers in today's environment must work with rapid discontinuous change, use of technology, and more highly educated and aware individuals.
TRUE
Penetration pricing is based on the assumptions that consumers perceive few differences among competing alternatives and that low prices generate sales
TRUE
The ability of an enterprise to generate enough cash to pay its bills is known as liquidity.
TRUE
The agricultural era was dominated by an authoritarian approach.
TRUE
The early majority class of product adopters consists of opinion leaders in local reference groups who are willing to take calculated risks on products.
TRUE
The main value of accounting is to help management make better financial decisions.
TRUE
