Explanation should include a definition of perishable goods (e.g., hotel rooms, airline seats, cruise cabins, tee times, meeting spaces).

Explanation should also include

• sell-through strategies
• overbooking
• last-minute marketing
• real-time pricing algorithms.

Process/Skill Questions:

• How can revenue management techniques create profit in marketing and sales?
• How and when would overbooking be utilized?
• What revenue management techniques are used during times of high demand?
• What revenue management techniques are used during times of low demand?
• What are the results of poor revenue management techniques?