Publication Date

12-2002

Abstract

[Excerpt] Capacity planning is a dominant issue when developing hospitality-operations strategies. From relatively small-scale settings such as restaurants to massive venues such as cruise ships and theme parks, managers face the same questions, such as: How can the service create the most revenue from a limited space and still keep the guests satisfied?; Should the business promote off-peak use at discount prices, add more capacity (at the risk of making guests feel crowded), or target marketing campaigns to those customer groups that might take advantage of underused facilities?; and Should the firm implement automated reservation technology to control queues for a ride or attraction?

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© Cornell University. Reprinted with permission. All rights reserved.

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